SOLUTION: Thor invests some money in an account earning 8% interest, compounded continuously. After how many years will he double his investment? [Use the formla A = Pert and round answer to
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Question 1034207: Thor invests some money in an account earning 8% interest, compounded continuously. After how many years will he double his investment? [Use the formla A = Pert and round answer to the nearest tenth.] Answer by fractalier(6550) (Show Source):
You can put this solution on YOUR website! We will use
A = Pe^rt
but the amount we are interested in is 2P (because we want to double his investment)...so we have
2P = Pe^rt
e^(.08)t = 2
Now take the ln and get
.08t = ln 2
t = ln 2/.08 = 8.66 years = 8.7 years to the nearest tenth
