SOLUTION: If you desire your investment to double in five years, what rate of interest compounded continuously should i seek?

Question 408870: If you desire your investment to double in five years, what rate of interest compounded continuously should i seek?
Answer by stanbon(75887) (Show Source): You can put this solution on YOUR website!
If you desire your investment to double in five years, what rate of interest compounded continuously should i seek?
------------
Solve (1+x)^5 = 2 where x is the annual rate
----
1+x = 2^(1/5)
---
1+x = 1.1487..
x = 0.1487...
---
The rate of interest must be at least 14.87%
================================================
Cheers,
Stan H.
RELATED QUESTIONS
Use logarithms to solve the problem. I need to find the interest rate needed for an... (answered by lwsshak3)

what interest rate is required for an investment with continuously compounded interest to (answered by jim_thompson5910)

Find the interest rate needed for an investment of $5600 to double in 7 yr if interest is (answered by lwsshak3)

Suppose you want to start saving for retirement. You decide to continuously invest $5000... (answered by ikleyn)

Investments: i would like my investment to double in value every 3 years. at what rate of (answered by solver91311)

what rate of interest compounded annually is required to double an investment in 15... (answered by mananth)

What rate of interest compounded annually is required to double an investment in 6... (answered by Alan3354)

What annual rate of interest compounded yearly is required to double an investment in 4... (answered by stanbon)

what rate of interest compounded annually is required to double and investment in 23... (answered by solver91311,lwsshak3)