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A local bank is running the following advertisement in thenewspaper: For just $1,000 we will pay you $70 forever! The fine print in the ad
A local bank is running the following advertisement in thenewspaper: "For just $1,000 we will pay you $70 forever!" The fine print in the ad says that for a $1,000 deposit, the bank will pay $70 every year inperpetuity, starting one year after the deposit is made. What interest rate is the bank advertising(what is the rate of return of thisinvestment)? Round to nearest integer
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