Question

Determine the time necessary for P dollars to double when it is invested at interest rate r compounded annually, monthly, daily, and continuously. (Round your answers to two decimal places.)

P=363635.63
r=5%

Answer 1

Annually 2=(1+.05)^t Solve for t = Log(2)/Log(1+.05)

Monthly, daily 2=(1+.05/n)^nt t=Log(2)/Log(1+.05/n)/n
where n is 12 months or 365 days.

Continuously A=P*e^rt t=Ln(2)/r