SOLUTION: if you put $2000 into an interest bearing account, where interest is compounded quarterly (4 times a year) at 6%, how long will it take for your money to triple? use A=P(1+r/n)^nt

Algebra ->  Logarithm Solvers, Trainers and Word Problems -> SOLUTION: if you put $2000 into an interest bearing account, where interest is compounded quarterly (4 times a year) at 6%, how long will it take for your money to triple? use A=P(1+r/n)^nt      Log On


   

Question 765582: if you put $2000 into an interest bearing account, where interest is compounded quarterly (4 times a year) at 6%, how long will it take for your money to triple?
use A=P(1+r/n)^nt
solve for t
help please!!
Answer by jim_thompson5910(35256) About Me  (Show Source):
You can put this solution on YOUR website!

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

6000=2000(1+0.06/4)^(4*t)

6000/2000 = (1+0.06/4)^(4*t)

3 = (1+0.06/4)^(4*t)

3 = (1.015)^(4*t)

log(3) = log((1.015)^(4*t))

log(3) = 4*t*log(1.015)

log(3)/(4*log(1.015)) = t

t = log(3)/(4*log(1.015))

t = 18.4471905815477

So it will take roughly 18.4471905815477 years.

Note: round appropriately if needed