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travlnman
Oct 28, 2007, 10:56 AM
I am not sure of the correct formula to calculate interest rates. If I had a PV of $400 a FV of $684 and 11 years to pay, what is my interest?
ebaines
Oct 29, 2007, 06:23 AM
The formula to remember is:

FV = PV*(1+i)^N

You need to solve this for I. Manipulating this to get I by itself gets you:

I = (FV/PV)^(1/N) - 1

You can take it from there.