document.write( "Question 1178392: Jimmy invests $19,000 in an account that pays 6.05% compounded quarterly. How long (in years and months) will it take for his investment to reach $25,000? \n" ); document.write( "

Algebra.Com's Answer #807651 by ikleyn(52878) $\"\"$ $\"About$

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\n" ); document.write( "Jimmy invests $19,000 in an account that pays 6.05% compounded quarterly.
\n" ); document.write( "How long (in years and months) will it take for his investment to reach $25,000?
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document.write( "For the amount of $19000, compounded quarterly, the future value formula is\r\n" );
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document.write( "    Future Value = \r\n" );
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document.write( "where n is the number of quarters.\r\n" );
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document.write( "Therefore, our equation to find \"n\" is\r\n" );
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document.write( "    25000 = \r\n" );
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document.write( "Divide both sides by 19000\r\n" );
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document.write( "     = ,\r\n" );
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document.write( "or\r\n" );
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document.write( "    1.315789 = .\r\n" );
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document.write( "Take logarithm base 10 of both sides\r\n" );
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document.write( "    log(1.315789) = n*log(1.015125)\r\n" );
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document.write( "and find \"n\" using your calculator\r\n" );
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document.write( "    n =  = 18.28  quarters.\r\n" );
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document.write( "Finally, round this value 18.28 to the nearest greater integer 19,\r\n" );
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document.write( "in order for the bank was in position to make the last compounding.\r\n" );
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document.write( "ANSWER. 19 quarters, or 19*3 = 57 months, or 4 years and 9 months.\r\n" );
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\n" ); document.write( "\n" ); document.write( "To see many other similar (and different) solved problems, look into the lesson\r
\n" ); document.write( "\n" ); document.write( " - Problems on discretely compound accounts \r
\n" ); document.write( "\n" ); document.write( "in this site, and learn the subject from there.\r
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\n" ); document.write( "\n" ); document.write( "After reading this lesson, you will tackle such problems on your own without asking for help from outside.\r
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\n" ); document.write( "\n" ); document.write( "Also, you have this free of charge online textbook in ALGEBRA-I in this site\r
\n" ); document.write( "\n" ); document.write( " - ALGEBRA-I - YOUR ONLINE TEXTBOOK.\r
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\n" ); document.write( "\n" ); document.write( "The referred lesson is the part of this online textbook under the topic \"Logarithms\".\r
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\n" ); document.write( "\n" ); document.write( "Save the link to this online textbook together with its description\r
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\n" ); document.write( "\n" ); document.write( "Free of charge online textbook in ALGEBRA-I
\n" ); document.write( "https://www.algebra.com/algebra/homework/quadratic/lessons/ALGEBRA-I-YOUR-ONLINE-TEXTBOOK.lesson\r
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\n" ); document.write( "\n" ); document.write( "to your archive and use it when it is needed.\r
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\n" ); document.write( "\n" ); document.write( "Happy learning (!)\r
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