If an investment grew to $15,500 in 3 years and the interest amount earned was $1,752.71, calculate the nominal interest rate compounded quarterly.
Added by Larry P.
Step 1
We can use the formula for compound interest to find it: A = P(1 + r/n)^(nt) where: A = final amount ($15,500) P = principal amount (unknown) r = nominal annual interest rate (unknown) n = number of times compounded per year (4 for quarterly) t = time in years Show more…
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Madhur L.
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