Question

3600 dollars is placed in an account with an annual interest rate of 5.5%. To the nearest year, how long will it take for the account value to reach 7800 dollars?

Answer 1

14.44

Explanation:

The formula says

A=p(1+r)^t

A 7800

P 3600

R 0.055

T ?

7800=3600(1+0.055)^t

7800/3600=(1.055)^t

Log(7800/3600)= t × log(1.055)

T=log(7800/3600)/log(1.055)

T= 14.44 years