Asked by Kacie
how do i find the nomial rate?
A=500×(1.01^(4t))
is there a formula to find it? confused
A=500×(1.01^(4t))
is there a formula to find it? confused
Answers
Answered by
Steve
a nominal rate of r compounded n times per year is
(1+ r/n)^(nt)
So, since you have a 4t there, .01 = r/4, making r=4%
(1 + .04/4)^(4t)
(1+ r/n)^(nt)
So, since you have a 4t there, .01 = r/4, making r=4%
(1 + .04/4)^(4t)
There are no AI answers yet. The ability to request AI answers is coming soon!
Submit Your Answer
We prioritize human answers over AI answers.
If you are human, and you can answer this question, please submit your answer.