document.write( "<A HREF=/cgi-bin/jump-to-question.mpl?question=549399>Question 549399</A>: <I><SPAN STYLE=\"word-break: break-all;\"> Isabella invested $500 at 6% annual<BR>\n" );
document.write( "interest, compounded quarterly. The<BR>\n" );
document.write( "value, A, of an investment can be<BR>\n" );
document.write( "calculated using the equation<BR>\n" );
document.write( "A=P(1+r/n)^nt where P is the initial<BR>\n" );
document.write( "investment, r is the interest rate, n is<BR>\n" );
document.write( "the number of times the interest is<BR>\n" );
document.write( "compounded each year, and t is time<BR>\n" );
document.write( "in years. Exactly how long<BR>\n" );
document.write( "will it take for her investment to be<BR>\n" );
document.write( "worth four times as much (quadruple)in value? </SPAN>\n" );
document.write( "</I><HR><TABLE width=100%><TR><TD><B><A HREF=http://www.algebra.com/>Algebra.Com's</A> Answer #357721 by </B><A HREF=/tutors/aboutme.mpl?userid=stanbon><B>stanbon(75887)</B></A><img src=\"/images/stars/stars-13.gif\" alt=\"\" >&nbsp;<A HREF=/tutors/aboutme.mpl?userid=stanbon><IMG SRC=http://www.algebra.com/images/aboutme-small.gif BORDER=0 alt=\"About Me\" VALIGN=MIDDLE></A>&nbsp;<IMG SRC=http://www.algebra.com/images/nopicture.jpg><BR>You can <A HREF=\"/cgi-bin/embed-solution.mpl?show=1&solution=357721\">put this solution on YOUR website!</A><BR><SPAN STYLE=\"word-break: break-all;\"> Isabella invested $500 at 6% annual<BR>\n" );
document.write( "interest, compounded quarterly. The<BR>\n" );
document.write( "value, A, of an investment can be<BR>\n" );
document.write( "calculated using the equation <BR>\n" );
document.write( "A=P(1+r/n)^nt where P is the initial<BR>\n" );
document.write( "investment, r is the interest rate, n is<BR>\n" );
document.write( "the number of times the interest is<BR>\n" );
document.write( "compounded each year, and t is time<BR>\n" );
document.write( "in years. Exactly how long<BR>\n" );
document.write( "will it take for her investment to be<BR>\n" );
document.write( "worth four times as much (quadruple)in value?<BR>\n" );
document.write( "--------------------------------<BR>\n" );
document.write( "Solve for \"t\":<BR>\n" );
document.write( "4P = P(1+(0.06/4))^(4t)<BR>\n" );
document.write( "(1+(0.06/4))^(4t) = 4<BR>\n" );
document.write( "(1.015)^(4t) = 4<BR>\n" );
document.write( "---<BR>\n" );
document.write( "4t = ln(4)/ln(1.015)<BR>\n" );
document.write( "t = 23.28 years<BR>\n" );
document.write( "==================================<BR>\n" );
document.write( "Cheers,<BR>\n" );
document.write( "Stan H.<BR>\n" );
document.write( "=================<BR>\n" );
document.write( " </SPAN>\n" );
document.write( "</TD></TR></TABLE>\n" );