If Money Is Invested for 3 Years with Interest Compounded $1 + r$

question 36

Multiple Choice

If money is invested for 3 years with interest compounded annually, the future value of the investment varies directly as the cube of $1 + r$ r, where r is the interest rate. If the future value of the investment is $9317.00 when the
Rate is 10%, what rate gives a future value of $8575.30? Round to the nearest whole percent.

• A) 6%
• B) 8%
• C) 7%
• D) 9%