Assume annual compounding also assume that the bank


Ima Saver has $19703 in cash. She plans to but a new car in five years. Ima is highly certain that the car will cost $25690. Ima is shopping around for a bank at which to save for the next five years. What nominal annual interest rate must the bank offer for Ima to be able to afford the car, assuming that she deposits her cash today in the account?

Assume annual compounding. Also assume that the bank accounts are federally insured, so that there is no risk of loss.

Express your answer in percent, and round your answer to three decimal places. Do not type the % symbol.

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Financial Management: Assume annual compounding also assume that the bank
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