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Question 1142788: 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 55 years, the amount in the annuity is $ 5631.47. What annual nominal compounding rate has this annuity earned?
Answer by ikleyn(52775)   (Show Source):
You can put this solution on YOUR website! .
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 55 years,
the amount in the annuity is $ 5631.47. What annual nominal compounding rate has this annuity earned?
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Your input data in the post is HEAVILY WRONG.
Indeed, $1000 annual payments during 55 years result to $55000, even without any compounding.
Revise your data (!)
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