An account had an initial deposit made and then interest was applied once a year at a fixed rate. The amount of money, in dollars, in the account after t years, was 103(1.02) t . What was the annual interest rate?

Respuesta :

The equation says
A=p(1+r)^t
A=103(1+0.02)^t
So the interest rate is
0.02*100=2%