document.write( "Question 1160348: You deposit $2,500 into an account that pays 3.5% annual interest compounded daily. How long will
\n" );
document.write( "it take for the balance to reach $3,000?
\n" );
document.write( " \n" );
document.write( "
Algebra.Com's Answer #783632 by Boreal(15235)![]() ![]() You can put this solution on YOUR website! P=Po(1+(.035/365))^365n \n" ); document.write( "3000=2500(1+(.035/365))^365n=1.2 \n" ); document.write( "logs both sides \n" ); document.write( "0.07918=365n 0.0000416=0.0152n (round at end) \n" ); document.write( "n=5.209 years\r \n" ); document.write( "\n" ); document.write( "check using continuous compounding, which should be very close \n" ); document.write( "e^(0.035*5.209)(2500)=$3000.03, just a little more, which is correct \n" ); document.write( " |