Question

Please helpppp!!!!!!!
At what interest rate the must $4500 be compounded annually to equal $10,174.07 after 14 years?
Thanks! ;)

Answer 1

interest rate=180

Answer 2

Noo, the answer is suppose to be 6%.

Answer 3

ok lol hang on.

Answer 4

Can you give me the step if you don't might? Thanks!

Answer 5

I did it, but I want to make sure it is the right formula..

Answer 6

the formula is A=P(1+r/n)^nt
a=compounded interest r=6%
P=amount ($4500) n=how many times a year
t=years(14)

Answer 7

Nop, I still don't get it...

Answer 8

I have from a similar question, this.. ln(10174.07/4500)/0.14.
And i got 5.8. so it says (round it to the nearest percent.)

Answer 9

@jim_thompson5910, hi life saver.. I would like to know if this is the right formula for this problem.?? ln(10174.07/4500)/0.14 Thanks! ;)

Answer 10

A=P(1+r/n)^(nt)


10174.07=4500(1+x/1)^(1*14)


10174.07=4500(1+x)^(14)


10174.07/4500 = (1+x)^(14)


2.260904 = (1+x)^(14)


(2.260904)^(1/14) = 1+x


1.06000000148 = 1+x


1.06000000148 - 1 = x


0.06000000148 = x


x = 0.06000000148


x = 0.06


So the interest rate is roughly 6%

Answer 11

Waooo, I am in shock.... Loved it... Thanks so much!!