Answer:
5 years and 4 months = 5.33 years
Step-by-step explanation:
the question is incomplete and it is missing several numbers. I found the following question which I think is the complete:
"Faisal has $12,000 in his savings account and can save an additional $3600 per year. If interest rates are 12%, how long will it take his savings to grow to $47,000? "
by the end of year 1, Faisal will have:
- $12,000 x (1 + 12%) = $13,440
- + $3,600
- total = $17,040
by the end of year 2, Faisal will have:
- $17,040 x (1 + 12%) = $19,084.80
- + $3,600
- total = $22,684.80
by the end of year 3, Faisal will have:
- $22,684.80 x (1 + 12%) = $25,406.98
- + $3,600
- total = $29,066.98
by the end of year 4, Faisal will have:
- $29,066.98 x (1 + 12%) = $32,487.81
- + $3,600
- total = $36,087.81
by the end of year 5, Faisal will have:
- $36,087.81 x (1 + 12%) = $40,418.35
- + $3,600
- total = $44,018.35
Since Faisal is very close to his goal, we can calculate how much money he will have in 6 months:
in 5 years and 6 months, Faisal will have:
- $44,018.35 x (1 + 6%) = $46,659.45
- + $1,800
- total = $48,459.45
Faisal's savings are too high in 6 more months, so we can calculate in 3 more months instead:
in 5 years and 3 months, Faisal will have:
- $44,018.35 x (1 + 3%) = $45,338.90
- + $900
- total = $46,238.90
Faisal is just a little bit short:
in 5 years and 4 months, Faisal will have:
- $44,018.35 x (1 + 43%) = $45,779.08
- + $1,200
- total = $46,979.08
I guess we are close enough because in one more month he will have a significantly higher amount.