SOLUTION: $1500 is invested at 4% compounded quarterly. In how many years will the account have grown to $14,500? Round to the nearest tenth of a year.

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Question 438375: $1500 is invested at 4% compounded quarterly. In how many years will the account have grown to $14,500? Round to the nearest tenth of a year.
Answer by ewatrrr(24785) About Me  (Show Source):
You can put this solution on YOUR website!
 

Hi

A= p(1+r/n) ^nt 

$1500 is invested at 4% compounded quarterly.

In how many years will the account have grown to $14,500? 

 145,000 = 1500(1 + .04/4)^(4t)

 145,000/1500 = 1.01^4t

 log(96.6667)/log(1.01) = 4t

        459.4 = 4t

        114.9 = t  (rounded to the nearest tenth of a year)