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Stacy Willis will invest $28,000 today. She needs $53,152 in 11 years.

What annual interest rate must she earn? (Round answer to 0 decimal places, e.g. 7%.)

Interest rate

enter Interest rate in percentages rounded to 0 decimal places

pur-new-sol

Computation of Interest Rate using Rate Function in Excel:

=rate(nper,pmt,-pv,fv)

Here,

Rate = Interest Rate = ?

Nper = 11 Years

PMT = 0

PV = $28,000

FV = $53,152

Substituting the values in formula:

=rate(11,0,-28000,53152)

Rate or Interest Rate = 6%

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