Word problem 1,500 invested in account at annual interest rate of 4.2% compound

label Mathematics
account_circle Unassigned
schedule 1 Day
account_balance_wallet $5

Oct 9th, 2015

Thank you for the opportunity to help you with your question!

Amount = P( 1+r) ^n

1500* 2= 1500( 1+ 0.042)^n

3000 = 1500 ( 1.042)^n

3000/1500 = ( 1.042)^n

( 1.042)^n  = 2

introducing natural log

n ln 1.042 = ln 2

n = ln2/ln 1.042

n=  16.8 years


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Oct 9th, 2015

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