Question 955724: Hi,
How many years will it take for $500 to grow to $1,099.43 if its invested at 7 percent compounded annually? please help thank you.
Answer by lwsshak3(11628)   (Show Source):
You can put this solution on YOUR website! How many years will it take for $500 to grow to $1,099.43 if its invested at 7 percent compounded annually?
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Compound Interest formula: A=P(1+r/n)^nt, P=initial investment, r=interest rate,n=number of compounding periods per year, A=amt after t-years
For given problem:
P=500
r=.07
n=1
A=1099.43
..
1099.43=500(1+.07)^t
1.07^t=1099.43/500
tlog(1.07)=log(1099.43/500)
t=log(1099.43/500)/log(1.07)
t≈11.6
How many years will it take for $500 to grow to $1,099.43? about 12 yrs
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