Claire is going to invest $2,600 and leave it in an account for 18 years. Assuming the interest is compounded continuously, what interest rate, to the nearest hundredth of a percent, would be required in order for Claire to end up with $4,300?

Rate of interest r = 2.83 % (Approx.)

Step-by-step explanation:

Given:

Amount invested p = $2,600

Amount get A = $4,300

Number of year n = 18

Find:

Rate of interest r

Computation:

A = p(1+r)ⁿ

4,300 = 2,600(1+r)¹⁸

(1+r)¹⁸ = 1.653846

Rate of interest r = 2.83 % (Approx.)

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