You have a sum on money in an account, and it grows from $1,230 to $ 2,244 over a period of 5 years. What average annual rate (%) will produce this result? I know how to use the rate formula in excel but I am confused about which of the values equate to the "Nper", "Pmt", "Pv", "Fv" and the "type". If someone could explain which is the nper versus the pmt etc.. I would appreciate it thanks!
You have a sum on money in an account, and it grows from $1,230 to $ 2,244 over a period of 5 years. What average annual rate (%) will produce this result? I know how to use the rate formula in excel but I am confused about which of the values equate to the "Nper", "Pmt", "Pv", "Fv" and the "type". If someone could explain which is the nper versus the pmt etc.. I would appreciate it thanks!
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Transcribed Image Text:You have a sum on money in an account, and it grows from $ 1,230 to $2,244 over a
period of 5 years. What average annual rate (%) will produce this result? I know how
to use the rate formula in excel but I am confused about which of the values equate
to the "Nper", "Pmt", "Pv", "Fv" and the "type". If someone could explain which is the
nper versus the pmt etc.. I would appreciate it thanks!
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