Hi Carl,

I can definitely help you with this. To convert an annual rate of return to a quarterly equivalent, you can use the following formula:

(1 + annual rate)^(1/4) - 1

Let's use your example of a 10% annual rate of return. Using the formula above, we can calculate the quarterly equivalent rate as follows:

(1 + 0.10)^(1/4) - 1 = 0.0244 or 2.44%

So the fixed quarterly rate you would need to earn for each of the four quarters to generate the same $11,000 value on Dec 31, assuming quarterly compounding, is 2.44%.

To apply this formula in Excel 2007, simply enter the annual rate of return in a cell (let's say A1), and then use the following formula in another cell:

1. =[/b](1+A1)^(1/4)-1[/b]

This will give you the quarterly equivalent rate.