Question

A Alignment Number Conditional Fo Formattina Styles What annual rate of return is earned on a $5,000 investment when it grows
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Answer #1

Please refer to below spreadsheet for calculation and answer. Cell reference also provided.

А В DE Present value Future value Number of periods $ $ 5,000 10,750 Annual rate of return 13.61%

Cell reference -

А в C D E Present value Future value Number of periods 5000 10750 Annual rate of return =RATE(D6,,D4,-D5,0)

Hope it will help, please do comment if you need any further explanation. Your feedback would be highly appreciated.

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