Posted by Leona on .
An investment today of $3,3OO is worth $10,000 IN 8 YEARS. At what rate has your investment been growing(annually) over the eight years ?
For compounding rate of return:
3300*(1+r)^8 = 10000.
(1+r)^8 = 10000/3300 = 3.0303
My calculator has a nth root button -- so 1+r=1.14864 so r=14.864%.
(without an nth root button, you can easily get there with successive approximations using something like an EXCL spreadsheet or a hand calculator).