SOLUTION: A deposit of $5000 in a savings account reaches a balance of $5865.22 after 8 years. The interest on the account is compounded quarterly. What is the annual interest rate of the ac
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Question 993437: A deposit of $5000 in a savings account reaches a balance of $5865.22 after 8 years. The interest on the account is compounded quarterly. What is the annual interest rate of the account?
Answer by solver91311(24713) (Show Source): You can put this solution on YOUR website!
^{nt})
where 
is the future value, 
is the present value or invested principal, 
is the decimal representation of the annualized interest rate, 
is the number of compounding periods per year, and 
is the number of years.
So solve the following for then calculate 
:
^{4*8})
John
My calculator said it, I believe it, that settles it
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