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27/(1+i)^12=10 solve for i

 Nov 10, 2016
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27/(1+i)^12=10 solve for i

 

27/(1+i)^12 = 10 cross multiply

10(1+i)^12 = 27 divide both sides by 10

(1+i)^12 = 2.7 take the 12th root of both sides.

1 + i = 1.0863 subtract 1 from both sides

i = 1.0863 - 1 x 100

i = 8.63%

 Nov 10, 2016

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