SOLUTION: How long does it take for an investment to double in value if it is invested at 16​% compounded monthly question mark  Compounded​ continuously?

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Question 1153394: How long does it take for an investment to double in value if it is invested at 16​% compounded monthly question mark  Compounded​ continuously?
Found 3 solutions by MathLover1, MathTherapy, ikleyn:
Answer by MathLover1(20850)   (Show Source): You can put this solution on YOUR website!

Use the formula
%=
-compounded monthly
you want (double your money)


.......use log





years

Compounded​ continuously:

you want , and %=

.....use natural log





years


Answer by MathTherapy(10555)   (Show Source): You can put this solution on YOUR website!
How long does it take for an investment to double in value if it is invested at 16​% compounded monthly question mark  Compounded​ continuously?
MONTHLY:

 ----- Converting to LOGARITHMIC  form

She's WRONG, AGAIN!!
The RULE of 72 ALSO demonstrates that it should be about 4.5 years!


CONTINUOUSLY:

 ----- Converting to LOGARITHMIC (Natural) form


There it is!!! THAT'S ALL!! 
These people are writing complex "NOVELS," and still end up with a WRONG answer. Don't they know anything about mathematics? Most likely NOT! 
How can doubling take over 34.6 years, compounded MONTHLY - according to someone who doesn't seem to have a clue - but takes 4.33 years when compounded continuously?

Answer by ikleyn(52818)   (Show Source): You can put this solution on YOUR website!
.

2A = ,


where "n" is the number of months.


Divide by A both sides


2 = ,   or, equivalently


2 = .


Take log base 10 from both sides


log(2) = n*log(1.013333)


n =  = 52.3 months = 4 years and 5 months (rounded as required).    ANSWER


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