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2 years ago

QUESTION 20

Mathematics

1 answer:

Evgesh-ka [11]2 years ago

5 0

The rate of interest required to achieve the conditions set forth is 7.1773%.

<h3>What is the interest rate?</h3>

The interest rate is the rate at which the investment increases. The formula that can be used to determine interest rate is:

g = (FV / PV)^(1/N) - 1

Where:

FV = future value = $32,000
PV = present value = $8000
n = number of years

4^(1/20) - 1 = 7.1773%

To learn more about interest rate, please check: brainly.com/question/26164549

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