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5 votes
Suppose you deposit $2000 in a bank account that has a doubling time of 19 years. To the nearest $100, what will your balance be after 5 years?

A. $2400
B. $2500
C. $7600
D. $27,900

User Happyhuman
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2 Answers

5 votes
It B. 2500 _____________________________
User Rafael Adel
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4.8k points
6 votes

The expression for the balance (b) in terms of the number of years (t) can be written as

... b = 2000·2^(t/19) . . . . . . the amount grows exponentially, and is is doubled when t=19

Then for t=5, the balance is

... b = 2000·2^(5/19) ≈ 2400

The best choice is ...

... A. $2400

User Rgroli
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5.3k points