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Plz help me to solve this mathematical equation

Forums › ACCA Forums › ACCA AFM Advanced Financial Management Forums › Plz help me to solve this mathematical equation

  • This topic has 2 replies, 2 voices, and was last updated 14 years ago by estherpang87.
Viewing 3 posts - 1 through 3 (of 3 total)
  • Author
    Posts
  • November 21, 2011 at 11:23 am #50601
    estherpang87
    Member
    • Topics: 12
    • Replies: 12
    • ☆

    Hi,

    Does anyone know how to find the ‘i’ in this equation? please help! Thanks

    0.579 x [180 x (1+i)² + 180 x (1+i) + 180]
    26.62

    = 13.893

    November 21, 2011 at 6:32 pm #90004
    Anonymous
    Inactive
    • Topics: 0
    • Replies: 1
    • ☆

    The following steps might help
    0.5795 x [180 x (1+2i+i²)+180 x (1+i) + 180] = 13.893
    26.62
    0.579 x [180 + 360i + 180i² + 180 +180i +180] = 13.893
    26.62
    0.579 x [ 540 +540i +180i²] = 13.893 x 26.62
    312.66 + 312.66i + 104.22i² = 369.83166

    Rearranging the equation
    104.22i² + 312.66i – 57.17166 = 0

    Solving the simultaneous equation (I used my calculator for this but there is a formula)
    i = 0.1729 or -3.1729
    Hope that helps

    November 22, 2011 at 6:06 am #90005
    estherpang87
    Member
    • Topics: 12
    • Replies: 12
    • ☆

    hi there, thanks for your reply. U solved my problem. the suggested answer was between 17 and 18%, and your answer is exactly within this range. thank you so much.

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