document.write( "Question 1182198: Find the time required for an investment of 5000 pesos to grow to 7700 pesos at an interest rate of 6.5% per year, compounded quarterly. Round to the nearest year. \n" ); document.write( "

Algebra.Com's Answer #812181 by ikleyn(52787) $\"\"$ $\"About$

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\n" ); document.write( "Find the time required for an investment of 5000 pesos to grow to 7700 pesos
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document.write( "For the amount of 5000 pesos, compounded quarterly at 6.5% per year, 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( "    7700 = \r\n" );
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document.write( "Divide both sides by 5000\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( "    1.54 = .\r\n" );
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document.write( "Take logarithm base 10 of both sides\r\n" );
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document.write( "    log(1.54) = n*log(1.01625)\r\n" );
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document.write( "and find \"n\" using your calculator\r\n" );
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document.write( "    n =  = 26.77  quarters.\r\n" );
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document.write( "Finally, round this value 26.77 to the nearest greater integer 27,\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. 27 quarters, or 6 years and 9 months; \r\n" );
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document.write( "        or, if you wat to round to the nearest year, 7 years.\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
\n" ); document.write( "
\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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