SOLUTION: what rate of interest would one need in order to double one's investment in 8 years if interest is compounded daily.

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Question 376022: what rate of interest would one need in order to double one's investment in 8 years if interest is compounded daily.
Found 2 solutions by solver91311, mananth:
Answer by solver91311(24713) About Me  (Show Source):
You can put this solution on YOUR website!


For daily compounding:



You want to find when and

So















A little whacking on the calculator should get you to about 8.67%

John

My calculator said it, I believe it, that settles it
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Answer by mananth(16946) About Me  (Show Source):
You can put this solution on YOUR website!
Assume Principal = 100=P
Amount = 200=A
time = 8 years =n
continuously -q=compounding term
..
Compound Interest formula
i = q([A/P]1/nq - 1).
i= 365*((200/100)^(1/(8*365))-1)
..
i=0.0866 = 8.66 %
...
m.ananth@hotmail.ca