The interest is reinvested at annual effective rate

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Reference no: EM132016171

Victor invests 300 into a bank account at the beginning of each year for 20 years. The account pays out interest at the end of every year at an annual effective interest rate of i%.

The interest is reinvested at an annual effective rate of i %. The yield rate on the entire 2 investment over the 20 year period is 8% annual effective. Determine i.

Reference no: EM132016171

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