Allison invested 70,000 in an account paying an interest rate of 6.2% compounded continuously. Assuming no deposits or withdrawals are made, how long would it take, to the nearest year, for the value of the account to reach 223,200?

Solución

Allison invested 70, 000 in an account paying an interest rate of 6.2% compounded continuously. Assuming no deposits or withdrawals are made, how long would it take, to the nearest year, for the value of the account to reach 223, 200?

Solución

Time : 18.7

Pasos de solución

Translate the problem into an equation:

223200 = 70000 e^{0.062 t}

Resolver para

t, 223200 = 70000 e^{0.062 t} : t = 18.7

Time : 18.7

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