SOLUTION: suppose that $9000 is invested at an interest rate of 5.4% per year, compounded continuously What is the doubling time?
I know that the equation is Pe^rt, but i am not certain a
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I know that the equation is Pe^rt, but i am not certain a
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Question 234713: suppose that $9000 is invested at an interest rate of 5.4% per year, compounded continuously What is the doubling time?
I know that the equation is Pe^rt, but i am not certain about what exactly to do. i have the general idea, i am just not getting it.
Please Help! Answer by stanbon(75887) (Show Source):
You can put this solution on YOUR website! suppose that $9000 is invested at an interest rate of 5.4% per year, compounded continuously What is the doubling time?
I know that the equation is Pe^rt
18000 = 9000e^(0.054t)
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e^(0.054t) = 2
Take the natural log to get:
0.054t = ln(2)
t = [ln(2)]/0.054
t = 12.836.. years
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Cheers,
Stan H.
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