Ned currently has an account balance of $3,634.51. He opened the account 13 years ago with a deposit of $2,564.65. If the interest compounds twice a year, what is the interest rate on the account?

4.7%
5.4%
2.7%
1.4%

Question

Ned currently has an account balance of $3,634.51. He opened the account 13 years ago with a deposit of $2,564.65. If the interest compounds twice a year, what is the interest rate on the account?

 4.7%
 5.4%
 2.7%
 1.4%

yanasidlinskiy · Answer

What do you think? Have you tried to attempt it? If so, what did you get?

yanasidlinskiy · Answer

Your formula is r = n(ln(A/P)/(nt))
R being the interest rate and what you're trying to find.
A= 3,634.51
P = 2,564.65
N is the number of times compounded per year so n = 2
And t is the number of years so t = 13 
Now all you have to do is solve=)

anonymous · Answer

oh ok