We use cookies to personalise content and advertisements and to analyse access to our website. Furthermore, our partners for online advertising receive pseudonymised information about your use of our website. cookie policy and privacy policy.
 
+0  
 
0
128
1
avatar+701 

http://prntscr.com/ld93w9

 Nov 1, 2018
 #1
avatar+100579 
+1

OK...we need to use this "formula"

 

a )   A(t)  =  P  ( 1 + r)^(t) 

 

Where 

A(t)  is a future amount

P  is the beginning amount

r  =  interest rate  expressed as a decimal

t = number of years invested

 

 

 

b)   We want to solve this  for t

 

800  = 500 ( 1 + .015)^t        divide  both sides by 500

 

800/ 500  =  ( 1 + .015)^t       take the log of both sides

 

log ( 800/500)  = log ( 1.015)^t     and we can write

 

log ( 800/ 500)  = t * log(1.015)       divide both sides by log (1.015)

 

og (800/500) / log (1.015)  =  t  ≈  31.5 years

 

 

 

cool cool cool

 Nov 1, 2018

7 Online Users

avatar