Question

Samantha opened a savings account and deposited $8192. The account earns 10% in interest annually. She makes no further deposits and does not withdraw any money. In t years, she has $25,710 in this account. Write an equation in terms of t that models the situation.

Answer 1

The formula for this is A=P(1+r/n)^nt
Where A is the total amount. P is the principal amount. 1 represent 100%. R is the rate. N is the number for annual, quarter, or etc. T is the time given in the question. If you put the numbers that is given in the question and put it in the formula, you will have:
$25,710 = $8192(1 + 0.10/12)^12t
3.14= (1.00833333)^12t
12t= log1.00833333 3.14
t= (log1.00833333 3.14)/12
t is approximately 11.5 yrs