SOLUTION: Suppose you have $2,000 to invest. You want it to return $18,000. You put it in an investment that return 7% compounded monthly. How long will it take to return $18,000?

Question 1090056: Suppose you have $2,000 to invest. You want it to return $18,000. You put it in an investment that return 7% compounded monthly. How long will it take to return $18,000?
Found 2 solutions by jorel1380, MathTherapy:
Answer by jorel1380(3719) (Show Source): You can put this solution on YOUR website!
To return 18000 from 2000, at 7% interest, compounded monthly, would need:
18000=2000 x (1+ .07/12)^t, where t is the time in years. So:
18000=2000 x (1+ 0.07/12)^t
ln 9=ln (1.0058333333333333333333333333333)^t
ln 9=ln (1.0058333333333333333333333333333)^t=t ln (1.0058333333333333333333333333333)
t=377.76 years
☺☺☺☺
Answer by MathTherapy(10552) (Show Source): You can put this solution on YOUR website!
Suppose you have $2,000 to invest. You want it to return $18,000. You put it in an investment that return 7% compounded monthly. How long will it take to return $18,000?

Some of these people in here are RIDICULOUS. I ask every day, "What are they doing in here?" Some of these people have ABSOLUTELY no clue whether or not
their RIDICULOUS answers make any sense at all. I've never heard of $2,000 taking OVER 377 years to return $18,000, or even $20,000, for that matter.
For $2,000 to return $18,000, it means that $2,000 (PV) is invested and $20,000 ($2,000 + 18,000) is accumulated in a given time. If so, then
the time it takes a PV of $2,000 to reach $20,000, at 7%, compounded monthly is: .
However, it takes a little less, or for $2,000 to reach $18,000, at 7%, compounded monthly.
ALL would agree that these answers are a VERY FAR CRY from over 377 years. Good Lord!!
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