Try Yourself - Question 2 What annual rate is required for an investment to grow by 33% in 5 years if interest compounds 82 times per year? A. 6.12% B. 6.04% C. 5.92% D. 5.87% E. 5.71% First use i = FV PV 1/n - - 1. Then use i annual rate = C

EBK CFIN
6th Edition
ISBN:9781337671743
Author:BESLEY
Publisher:BESLEY
Chapter4: Time Value Of Money
Section: Chapter Questions
Problem 15PROB
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Try Yourself - Question 2
What annual rate is required for an investment to grow by 33% in 5 years if
interest compounds 82 times per year?
A. 6.12%
B. 6.04%
C. 5.92%
D. 5.87%
E. 5.71%
First use i
=
FV
PV
1/n
-
- 1. Then use i
annual rate
=
C
Transcribed Image Text:Try Yourself - Question 2 What annual rate is required for an investment to grow by 33% in 5 years if interest compounds 82 times per year? A. 6.12% B. 6.04% C. 5.92% D. 5.87% E. 5.71% First use i = FV PV 1/n - - 1. Then use i annual rate = C
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