Answer:
[tex]f(t) = 8400(1.0018)^{12t}[/tex]
2.22%
Step-by-step explanation:
$8400 is invested in an account earning 2.2% interest (APR), compounded monthly.
So, the value of the account after t years will be given by
[tex]f(t) = 8400 (1 + \frac{2.2}{12 \times 100} )^{12t} = 8400(1.0018)^{12t}[/tex] {Rounded to the four decimal places} (Answer)
Now, for t = 1 year, f(1) = $8586.67
So, the percentage of growth per year (APY) = [tex]\frac{(8586.67 - 8400) \times 100}{8400} = 2.22[/tex]% {Rounded to the nearest hundredth of percent} (Answer)
