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Math Help - Logarithm/Algebra?

  1. #1
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    Logarithm/Algebra?

    Hi there, could someone please help me with the following:

    The answer is 10%, but I want to know how you get that 10%.

    Once again, I am unsure of as to what you do with the power when you move the equation across. Please could someone help!


    Thank you.

    Equation: Solve for r2

    $826.45 = $1000 / (1 + r2)2

    r2 = 10%
    Last edited by WoodyGD; March 16th 2012 at 05:48 AM.
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  2. #2
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    Crna Gora
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    Re: Logarithm/Algebra?

    (1+r_2)^2=\frac{1000}{826.45}

    (1+r_2)^2 \approx 1.21

    1+r_2 \approx 1.0999

    r_2 \approx 0.0999
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