SOLUTION: A sum of $2500, 00 earns interest at a rate of 12% per year compounded quarterly. How long will it take the investment to grow to $ 400, 000?

Question 1164228: A sum of $2500, 00 earns interest at a rate of 12% per year compounded quarterly. How long will it take the investment to grow to $ 400, 000?
Found 3 solutions by greenestamps, josgarithmetic, ikleyn:
Answer by greenestamps(13200)   (Show Source): You can put this solution on YOUR website!

Re-post, showing the correct sum invested.

Answer by josgarithmetic(39620)   (Show Source): You can put this solution on YOUR website!
How much is the sum to be invested?
Calling the sum to invest, A, then 12% per year compounded QUARTERLY, means or 3% interest rate PER QUARTER.

Wanted is finish with $400000.

, in which n is how many quarter-of-the-year periods; or how many three-month periods.

Decide what your A value really is, and solve the equation for n; and then convert that into the number of years or months.
Answer by ikleyn(52798)   (Show Source): You can put this solution on YOUR website!
.

In the number 2500,00 in your post, you placed "comma" in wrong place.

It is MATH; hence, everything MUST BE in their correct places:

every letter, every digit, and even every punctuation sign.

            And it is YOUR RESPONSIBILITY and YOUR DUTY to write correctly to this forum.

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