Help Understanding Formula -Interest Rate Calculation

[MATHHELP_2010]

Interest Rate Calculation:
The formula provided was as follows: R = In[1/(1-D*N/360)]/(N/365)
R = In[1/(1-.01311666666667 *35/360)] / (35/365)

D = .01311666666667
N = 35

The answer should be 0.13307329.. However when I go thru the calcuatlons I can't come up with this answer. Is the "In" mean to take the inverse or is the order in which I am computing wrong ? My answer is a value of 10.4418873 ? (1/(1-(.01311666666667*35) /360)) / (35/365) = 10.4418873 ? what do you do next ?

 

[Deleted member 4993]

Interest Rate Calculation:
The formula provided was as follows: R = In[1/(1-D*N/360)]/(N/365)
R = In[1/(1-.01311666666667 *35/360)] / (35/365)

D = .01311666666667
N = 35

The answer should be 0.13307329.. However when I go thru the calcuatlons I can't come up with this answer. Is the "In" mean to take the inverse or is the order in which I am computing wrong ? My answer is a value of 10.4418873 ? (1/(1-(.01311666666667*35) /360)) / (35/365) = 10.4418873 ? what do you do next ?

"ln" is short for "log natural" defined by:

If

\(\displaystyle a \ = \ ln(b)\)

then

\(\displaystyle b \ = \ e^a\)

 

[Denis]

Do you not have a "ln" key on your calculator?

R = In[1/(1-.01311666666667 *35/360)] / (35/365)

Go this way:
k = 1/(1-.01311666666667 *35/360)
Then:
R = ln(k) / (35/365)