SOLUTION: You deposit $2,500 into an account that pays 3.5% annual interest compounded daily. How long will it take for the balance to reach $3,000?

Question 1160348: You deposit $2,500 into an account that pays 3.5% annual interest compounded daily. How long will
it take for the balance to reach $3,000?

Answer by Boreal(15235) (Show Source): You can put this solution on YOUR website!
P=Po(1+(.035/365))^365n
3000=2500(1+(.035/365))^365n=1.2
logs both sides
0.07918=365n 0.0000416=0.0152n (round at end)
n=5.209 years
check using continuous compounding, which should be very close
e^(0.035*5.209)(2500)=$3000.03, just a little more, which is correct
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