how do i find the nomial rate?
A=500×(1.01^(4t))
is there a formula to find it? confused
a nominal rate of r compounded n times per year is
(1+ r/n)^(nt)
So, since you have a 4t there, .01 = r/4, making r=4%
(1 + .04/4)^(4t)
A=500×(1.01^(4t))
is there a formula to find it? confused
(1+ r/n)^(nt)
So, since you have a 4t there, .01 = r/4, making r=4%
(1 + .04/4)^(4t)