Question

How long will it take a $2000 investment to grow to 3212 at an annual rate of 6% compounded monthly

Answer 1

Explanation:

Given: How long will it take a $2000 investment to grow to 3212 at an annual rate of 6% compounded monthly?

That means 6% of $2000 is they annual income:

6% of $2000

`(6)/(100)` * $2000

6 * 20

= $120

That means they earn $120 every month.

Then divide $3212 and $120:

`(3212)/(120)`

= 26.76666667

Therefore, it will take the investment to grow from $2000 to $3212 26.76666667 months.