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Dewey deposits 1000 into an account paying 6% annual simple interest. The interest is paid at the end of each year. When the interest is
Dewey deposits 1000 into an account paying 6% annual simple interest. The interest is paid at the end of each year. When the interest is paid, Dewey moves the accrued interest into another account. This second account earns an annual effective rate of i, payable as an annual dividend at the end of each year. Upon receipt, Dewey deposits each of these dividends into a third account. The third account pays an annual effective rate of 4%. The interest payments made into this account are left in the account to continue growing. After 10 years, the sum of the balances in Dewey's three accounts is 1762.50. Find i. Dewey deposits 1000 into an account paying 6% annual simple interest. The interest is paid at the end of each year. When the interest is paid, Dewey moves the accrued interest into another account. This second account earns an annual effective rate of i, payable as an annual dividend at the end of each year. Upon receipt, Dewey deposits each of these dividends into a third account. The third account pays an annual effective rate of 4%. The interest payments made into this account are left in the account to continue growing. After 10 years, the sum of the balances in Dewey's three accounts is 1762.50. Find
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