Question

An account earned interest of 5% per year. The beginning balance was $250. The equation t=log1.05E250 represents the situation, where t is the time in years and E is the ending balance.

Answer 1

t=3 years

Explanation:

t=log1.05E250

t= time in years

E= ending balance.

Interest=5% per year

Ending balance=$289.41

Note: write Log 1.05 as written in the question

t= log1.05 E/250

=log1.05 (289.41 / 250)

=Log 1.05 (1.15764)

=Log (1.15764) / log (1.05)

= 0.0636 / 0.0212

=3

Therefore,

t=3 years