document.write( "Question 986186: how long, to the nearest year, will an investor have to invest R 20 000 to grow to R24 000, if the interest rate is 6% per year and the interest is compounded every 6 months?? \n" ); document.write( "

Algebra.Com's Answer #607000 by josgarithmetic(39617) $\"\"$ $\"About$

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Using time increments of every six months is the easiest way to do.\r
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\n" ); document.write( "\n" ); document.write( " $\"20000%281.06%29%5Ex=24000\"$
\n" ); document.write( "x is the number of compounding periods and you are given than x=1 means $\"%281%2F2%29year\"$ .\r
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\n" ); document.write( "\n" ); document.write( " $\"20%281.06%29%5Ex=24\"$
\n" ); document.write( " $\"5%281.06%29%5Ex=6\"$
\n" ); document.write( " $\"log%2810%2C%285%2A1.06%5Ex%29%29=log%2810%2C6%29\"$
\n" ); document.write( " $\"log%2810%2C5%29%2Bx%2Alog%2810%2C1.06%29=log%2810%2C6%29\"$
\n" ); document.write( " $\"x%2Alog%2810%2C1.06%29=log%2810%2C6%29-log%2810%2C5%29\"$
\n" ); document.write( " $\"highlight_green%28x=log%2810%2C%286%2F5%29%29%2Flog%2810%2C1.06%29%29\"$ \r
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\n" ); document.write( "\n" ); document.write( "x=3.128968 compounding periods, but we cannot really use that much accuracy. Try knocking down to the nearest month or nearest week.\r
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\n" ); document.write( "\n" ); document.write( " $\"3.128968%286%29%2Amonths\"$
\n" ); document.write( "or
\n" ); document.write( "18.77 months
\n" ); document.write( "or
\n" ); document.write( "18 months 23 days\r
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\n" ); document.write( "\n" ); document.write( "If you just want YEARS, then $\"18.77%2Amonths%281%2F12%29%28years%2Fmonth%29=1.564+years\"$ . \n" ); document.write( "

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