Pearl deposited $60 into a savings account for which interest is compounded monthly. according to the rule of 72, what interest rate will cause her money to double in approximately 33 years? a. 2.2% b. 0.6% c. 0.5% d. 1.8%

A. 2.2% is correct.

Step-by-step explanation:

Deposit Amount = $60

Pearl saving $60 into an account with interest is compounded monthly.

Her money is double in approximately 33 years.

Formula

where,

A is final amount. (Double of initial value). A=$120

P is deposit amount. P=$60

r is rate of interest. r=?

n number of period. n=12

t is total time. t=33

Substitute all these values into formula.

Now we solve for r

Taking log both sides

Thus, Rate of interest is 2.2%

step-by-step explanation:

b and c