A community for students.
Here's the question you clicked on:
 0 viewing
anonymous
 one year ago
Hi, I really need help to solve this question  I don't understand it. I need to solve it by hand and not a calculator or spreadsheet.
Thanks!
Determine an interest rate less than 15%, a period of investment greater than two years, and a regular payment that will result in the total amount of interest you earn being equal to the total amount of money you put in? (for example, under what conditions will you have a future value of $1 000 000, having earned $500 000 interest?)
anonymous
 one year ago
Hi, I really need help to solve this question  I don't understand it. I need to solve it by hand and not a calculator or spreadsheet. Thanks! Determine an interest rate less than 15%, a period of investment greater than two years, and a regular payment that will result in the total amount of interest you earn being equal to the total amount of money you put in? (for example, under what conditions will you have a future value of $1 000 000, having earned $500 000 interest?)

This Question is Closed

is3535
 one year ago
Best ResponseYou've already chosen the best response.0Want [(1+r)^n  1] / r = 2 where r < 15% and n > 2 years. Rule of 72 works. Try 8% and 9 years.

anonymous
 one year ago
Best ResponseYou've already chosen the best response.0I don't understand may you explain? Thanks I appreciate you helping me

is3535
 one year ago
Best ResponseYou've already chosen the best response.0(1+r)^t = 2 or t*ln(1+r) = ln 2. or t = ln(2)/ln(1+r) Now just start plugging in values of r and you will get some value of t. Then graph them.

anonymous
 one year ago
Best ResponseYou've already chosen the best response.0I saw those answers on yahoo answers but got confused hence i am here lol but thanks

anonymous
 one year ago
Best ResponseYou've already chosen the best response.0woops I got it sorry I was half alseep!
Ask your own question
Sign UpFind more explanations on OpenStudy
Your question is ready. Sign up for free to start getting answers.
spraguer
(Moderator)
5
→ View Detailed Profile
is replying to Can someone tell me what button the professor is hitting...
23
 Teamwork 19 Teammate
 Problem Solving 19 Hero
 Engagement 19 Mad Hatter
 You have blocked this person.
 ✔ You're a fan Checking fan status...
Thanks for being so helpful in mathematics. If you are getting quality help, make sure you spread the word about OpenStudy.