How many years will it take for a $50 investment to grow to $100 if it is compounded continuously at a rate of 5%?
Given formula is:
A(t)=P*e^rt
Where P is initial investment, r is rate, t is time.

Question

anonymous · Answer

100 = 50*e^0.05t
100/50 = e^0.05t
2= e^0.05t
ln 2 = 0.05t
t = (ln2)/0.05 = 13.86 years nearly. so 14 years i guess

cwrw238 · Answer

A(t) = 50* e^(0.05*t)
- like rkothaka said

anonymous · Answer

btw the $50 and the $100 have nothing to do with it.  this is the "doubling time" so no matter what you start with it will double in 
$$\frac{\ln(2)}{.05}$$ years