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Math Help - Simple Algebra - solving for R

  1. #1
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    Simple Algebra - solving for R

    Its been awhile since I took a math class, I was reviewing this question but I do not understand where the 4 came from. I understand the rest but I am clueless about that 4

    4000=1000 x (1+r)^5
    (1+r)^5=4
    (1+r)=4.0^(1/5) =1.32
    r=.32

    This came from my math book.
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  2. #2
    Super Member Quacky's Avatar
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    Quote Originally Posted by killasnake View Post
    Its been awhile since I took a math class, I was reviewing this question but I do not understand where the 4 came from. I understand the rest but I am clueless about that 4

    4000=1000 x (1+r)^5
    Divide both sides of the equation by 1000.
    (1+r)^5=4
    (1+r)=4.0^(1/5) =1.32
    r=.32

    This came from my math book.
    ~Quacky.
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  3. #3
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    If ab = x, then a = x/b OR b = x/a (ab means a times b)
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