Greg wants to have $25,000 in three years. He has $10,000 today to invest. The bank is offering three-year mutual fund investments, paying interest, compounded quarterly. What is the minimum nominal interest rate he would have to receive to reach his goal? The minimum nominal interest rate Greg would have to receive is percent per year, compounded quarterly. (Round the final answer to two decimal places as needed. Round all intermediate values to six decimal places as needed.)

Greg wants to have $25,000 in three years. He has $10,000 today to invest. The bank is offering three-year mutual fund investments, paying interest, compounded quarterly. What is the minimum nominal interest rate he would have to receive to reach his goal? The minimum nominal interest rate Greg would have to receive is percent per year, compounded quarterly. (Round the final answer to two decimal places as needed. Round all intermediate values to six decimal places as needed.)

Excel Applications for Accounting Principles

4th Edition

ISBN:9781111581565

Author:Gaylord N. Smith

Publisher:Gaylord N. Smith

Chapter27: Time Value Of Money (compound)

Section: Chapter Questions

Problem 6E

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