Question

Suppose $12,000 is invested into an account where interest is compounded twice a year. After 7 years, the balance is $13,793.70. What was the interest rate as a percent?

Answer 1

\[P\left(1+\frac{R}{N}\right)^{\text{NT}}=A\]

Answer 2

We know
P=12000
N= 2 (compounded twice a year)
T=7 years
A=13793.70 (final balance)

R=?

Answer 3

hold on let me try it and u check alright

Answer 4

o.o47

Answer 5

Did that check out?

Answer 6

that is it i think wht u mean check out?

Answer 7

I got different answer\[12000\left(1+\frac{R}{2}\right)^{14}\text{=}13793.70\]
\[ \left(1+\frac{R}{2}\right)^{14}\text{==}\frac{13793.70}{12000}\]
\[\left(1+\frac{R}{2}\right)^{14}==1.14948\]
\[\left(\left(1+\frac{R}{2}\right)^{14}\right)^{\frac{1}{14}}==(1.14948)^{\frac{1}{14}}\]
\[1+\frac{R}{2}==1.01\]
\[\frac{R}{2}==.01\]
R=.02