SOLUTION: find the annual interest rate to the nearest tenth of a percent for 1100 to grow to 1800 if the interest is compounded quarterly for 6 years

Question 733540: find the annual interest rate to the nearest tenth of a percent for 1100 to grow to 1800 if the interest is compounded quarterly for 6 years
Answer by stanbon(75887) (Show Source): You can put this solution on YOUR website!
find the annual interest rate to the nearest tenth of a percent for 1100 to grow to 1800 if the interest is compounded quarterly for 6 years
------
A(t) = P(1+(r/n))^(nt)
------
1800 = 1100(1+(r/4))^(4*6)
-----
(1+(r/4)^24 = 18/11
----
24*log(1+(r/4)) = log(18)-log(11)
-----------------
log(1+(r/4)) = 0.0089
----
1+(r/4) = 10*0.0089
---
1 + (r/4) = 1.0207
---
r/4 = 0.0207
---
r = 0.0829
================
Cheers,
Stan H.
=======================
RELATED QUESTIONS
Find the required annual interest rate to the nearest tenth of a percent for $1100 to... (answered by Fombitz)

Find the required annual interest rate to the nearest tenth of a percent for $1400 to... (answered by stanbon)

find the required interest rate to the nearest tenth of a percent for $1200 to grow to... (answered by Boreal)

What rate of interest, to the nearest tenth of a percent, compounded quarterly is needed... (answered by stanbon)

Whats the annual interest rate, to the nearest 10th of a percent, for $1839 to grow to... (answered by Nate)

What rate of interest, to the nearest tenth of a percent, compounded quarterly is need... (answered by stanbon)

A passbook savings account has a rate of 9%. Find the effective annual yield, rounded... (answered by ikleyn)

How long, to the nearest tenth of a year, will it take $3500 to grow to $8000 at 6.5%... (answered by stanbon)

Find the interest rate necessary for a present value of $28,955 to grow to a future value (answered by Alan3354)