tubacrossed
tubacrossed tubacrossed
  • 01-06-2016
  • Mathematics
contestada

At what interest rate (to the nearest hundredth of a percent) compounded annually will money in savings double in five years?

Respuesta :

Hagrid
Hagrid Hagrid
  • 14-06-2016
For a single payment with compound interest, the equation to use is F=P(1+i)^n where F is the value after n periods, P is the present value, and i is the interest rate.

If we want the final value F to double in 5 years, F is then equal to P then n=5. The equation is now:

2P=P(1+i)^5
2=(1+i)^5
i=14.87% per year
Answer Link

Otras preguntas

Put the equation y+x^2-10+16 in the form y=(x-h)^2+k
what is scary in English ​
With practical and relevant examples explain 2 sociological perspectives/theories of law
if the passage is argument say it argument if the passage is non argument say it non argumnet 1, i belive that it must be the policy of united states to support
which of the following notes would be the most relevant if you were researching the structures of skyscrapers
Understand equivalent ratios in the real world Ani thinks the perfect milkshake has 5 scoops of ice cream for every 3 spoonfuls of caramel. Freeze Zone makes "b
Discuss any five ways in which the visual and performing arts teacher can instill learner's with creativity​
Dan sold 40 concert tickets in 5 days. Each day he sold 3 tickets MORE than the previous day. The number of tickets he sold on the third day is?
Which of the following segments is tangent to the circle? 1 overline HI 2 ) overline DE 3) overline FG 4 ) overline AC
ways to control the illegal trade of weapons in points 5 points​