document.write( "<A HREF=/cgi-bin/jump-to-question.mpl?question=1140163>Question 1140163</A>: <I><SPAN STYLE=\"word-break: break-all;\"> George invested $12550 for 5 years. After 5 years, he received a total amount of N$22500 from his investment. Calculate the annual rate at which interest was paid? </SPAN>\n" );
document.write( "</I><HR><TABLE width=100%><TR><TD><B><A HREF=http://www.algebra.com/>Algebra.Com's</A> Answer #760657 by </B><A HREF=/tutors/aboutme.mpl?userid=Theo><B>Theo(13342)</B></A><img src=\"/images/stars/stars-13.gif\" alt=\"\" >&nbsp;<A HREF=/tutors/aboutme.mpl?userid=Theo><IMG SRC=http://www.algebra.com/images/aboutme-small.gif BORDER=0 alt=\"About Me\" VALIGN=MIDDLE></A>&nbsp;<IMG SRC=http://www.algebra.com/cgi-bin/show-face.mpl?user=Theo><BR>You can <A HREF=\"/cgi-bin/embed-solution.mpl?show=1&solution=760657\">put this solution on YOUR website!</A><BR><SPAN STYLE=\"word-break: break-all;\"> f = p * (1 + r) ^ n\r<BR>\n" );
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document.write( "f is the future value<BR>\n" );
document.write( "p is the present value<BR>\n" );
document.write( "r is the interest rate per time period<BR>\n" );
document.write( "n is the number of time periods\r<BR>\n" );
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document.write( "in this problem, formula becomes:\r<BR>\n" );
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document.write( "22500 = 12550 * (1 + r) ^ 5\r<BR>\n" );
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document.write( "divide both sides of the equation ty 12550 to get:\r<BR>\n" );
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document.write( "(22500 / 12550) = (1 + r) ^ 5\r<BR>\n" );
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document.write( "take the fifth root of both sides of the equation and subtract 1 from both sides of the equation to get:\r<BR>\n" );
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document.write( "(22500 / 12550) ^ (1/5) - 1 = r\r<BR>\n" );
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document.write( "solve for r to get r = .1238484694.\r<BR>\n" );
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document.write( "confirm by multiplying 12550 by (1 + .1238484694) ^ 5 to get 22500.\r<BR>\n" );
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document.write( "the answer is confirmed, so the solution is that the annual interest rate is .1238484694, or 12.38484694%.\r<BR>\n" );
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document.write( " </SPAN>\n" );
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