SOLUTION: Find the required annual interest rate to the nearest tenth of a percent for $1400 to grow to $1700 if interest in compounded quarterly for 7 years.

Question 769244: Find the required annual interest rate to the nearest tenth of a percent for $1400 to grow to $1700 if interest in compounded quarterly for 7 years.
Answer by stanbon(75887) (Show Source): You can put this solution on YOUR website!
Find the required annual interest rate to the nearest tenth of a percent for $1400 to grow to $1700 if interest in compounded quarterly for 7 years.
------
A(t) = P(1+(r/n))^(nt)
1700 = 1400(1+(r/4))^(4*7)
-----
(1 + (r/4))^28 = 17/14
-----
-----
1+(r/4) = (17/14)^(1/28) = 1.007
----
r/4 = 0.007
---
r = 0.028
---
rate = 2.8%
================
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 interest rate to the nearest tenth of a percent for $1200 to grow to... (answered by Boreal)

find the annual interest rate to the nearest tenth of a percent for 1100 to grow to 1800... (answered by stanbon)

Determine the simple interest rate at which 1350 will grow to 1400 in the 3 months. Round (answered by fractalier)

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 needed... (answered by stanbon)

What interest rate, to the nearest tenth of a percent, is required for an investment... (answered by addingup)

What interest rate, to the nearest tenth of a percent, is required for an investment... (answered by fractalier)

The formula A=P(1+r)^2 gives the amount A in dollars that P dollars will grow to in 2... (answered by Theo)