Question 981568: The annual Gross Domestic Product (GDP) of a country is the value of all of the goods and services produced in the country during a year. During the period 1985-1999, the Gross Domestic Product of the United States grew about 3.2% per year, measured in 1996 dollars. In 1985, the GDP was $577 billion. I what year did/or will the GDP equal $1.6 trillion?
Answer by Boreal(15235)   (Show Source):
You can put this solution on YOUR website! A=Ao{1+r)^n ;; r is rate, n= years
1600000000000=577000000000(1+.032)^n
Divide by 577 billion
2.77296 ; don't round yet
2.77296=(1.032)^n
ln of both sides
1.0199=n ln (1.032)
1.0199= n*0.03150
31.12 years
1985=year 0
2016 =year 31
Early 2017.
Doubling time is 72/rate in per cent or 72/3.2=22.5 years. This is nearly tripling, so one would expect 110/rate=or just over 34 years. The answer is consistent with this latter figure.
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