document.write( "Question 812083: how many years will it take $5,500 to grow to $6,300 if it is invested at an annual rate of 2.5% compounded continuously? \n" ); document.write( "
Algebra.Com's Answer #489019 by Edwin McCravy(20056)\"\" \"About 
You can put this solution on YOUR website!
how many years will it take $5,500 to grow to $6,300 if it is invested at an annual rate of 2.5% compounded continuously?
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document.write( "A = Pert\r\n" );
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document.write( "A = final amount = 6300 \r\n" );
document.write( "P = beginning amount = 5500\r\n" );
document.write( "r = rate expressed as a decimal = 0.025\r\n" );
document.write( "t = time in years = (the unknown)\r\n" );
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document.write( "               A = Pert \r\n" );
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document.write( "Solve for t. Divide both sides by P\r\n" );
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document.write( "              \"A%2FP\" = ert  \r\n" );
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document.write( "Write an equivalent natural log equation using the rule that \r\n" );
document.write( "X = eY is equivalent to Y = ln(X)\r\n" );
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document.write( "              rt = ln\"%28A%2FP%29\"\r\n" );
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document.write( "Use the rule of logs ln\"%28X%2FY%29\" = ln(X)-ln(Y)\r\n" );
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document.write( "              rt = ln(A)-ln(P)\r\n" );
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document.write( "Divide both sides by r\r\n" );
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document.write( "               t = \"%28ln%28A%29-ln%28P%29%29%2Fr\"\r\n" );
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document.write( "Now substitute the given values \r\n" );
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document.write( "               t = \"%28ln%286300%29-ln%285500%29%29%2F0.025\"     \r\n" );
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document.write( "Put that in your TI-83 or TI-84 this way\r\n" );
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document.write( "(ln(6300)-ln(5500))/0.025\r\n" );
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document.write( "Press ENTER\r\n" );
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document.write( "Read 5.432061646 years or about 5 years and 5 months.\r\n" );
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document.write( "Edwin
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