Expert: Lynn Houston - 2/1/2012

Question
Hi,

I have a question that I just can't get. The question is
5000 = 9000/(1 + r)^10
I can get up to the part where I have to find what's in the brackets but I don't know how to deal with the power of ten. Any help would be much appreciated!

Thanks,
Erin

Answer
divide both sides by 9000 and reduce

5/9 = (1 + r)^10

Take the 10 root of both sides.  Not sure how to write that here, but it's the square root symbol with "10" in the angled part in front.

10th root 5/9 = 1 + r

subtract 1

(10th root 5/9)-1 = r

Assuming you were instructed to solve for R.