document.write( "<A HREF=/cgi-bin/jump-to-question.mpl?question=1161452>Question 1161452</A>: <I><SPAN STYLE=\"word-break: break-all;\"> Use graphical approximation techniques or an equation solver to approximate the desired interest rate. A person makes annual payments of $ 1000 into an ordinary annuity. At the end of 5 ​years, the amount in the annuity is $ 5666.43. What annual nominal compounding rate has this annuity​ earned? </SPAN>\n" );
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document.write( "The future value formula for payments of $1000 annually for 5 years at interest rate r is<br><BR>\n" );
document.write( "<IMG STYLE=\"max-width:80%;\" SRC=/cgi-bin/plot-formula.mpl?expression=1000%28%28%281%2Br%29%5E5-1%29%2Fr%29 ALIGN=MIDDLE  ALT=\"1000%28%28%281%2Br%29%5E5-1%29%2Fr%29\"   DISABLED_style= \"max-width:90%; height:auto;\" ><br><BR>\n" );
document.write( "Graph that function and the constant 5666.43 on a graphing calculator and find the intersection.<br><BR>\n" );
document.write( "ANSWER: r = .0626 = 6.26%<br><BR>\n" );
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