SOLUTION: At what nominal rate of interest , compounded yearly, will money double in eight years?

Algebra ->  Finance -> SOLUTION: At what nominal rate of interest , compounded yearly, will money double in eight years?       Log On


   

Question 449421: At what nominal rate of interest , compounded yearly, will money double in eight years?
Answer by stanbon(75887) About Me  (Show Source):
You can put this solution on YOUR website!
At what nominal rate of interest , compounded yearly, will money double in eight years?
----
The multiplying factor is (1+r)^8
---
Solve (1+r)^8 = 2
---
1+r = 2^(1/8) = 1.0905
----
r = 0.0905 or 9.05%
=====================================
Cheers,
Stan H.
=============