How long will it take for a sum of money to triple in value if invested at an annual rate of 1% compounded continuously?
FV=PV x e^(i*n)
3 = 1 x e^(0.01n)
Solve for n:
3 = e^(0.01 n)
e^(0.01 n) = e^(n/100):
3 = e^(n/100)
3 = e^(n/100) is equivalent to e^(n/100) = 3:
e^(n/100) = 3
Take the natural logarithm of both sides:
n/100 = log(3)
Multiply both sides by 100:
Answer: |n = 100 log(3) =109.86... Years.
