Question

How long will it take for an investment of $3000 to double in value if the interest rate is 8.5% per year, compounded continuously?

Answer 1

using the equation pe^rt = FV
we p = 3,000, r = 0.085, and FV= 6,000 so you just need to solve for t to get your answer

Answer 2

3000^(.085t)=6000? like that

Answer 3

there should be an 'e' term in there too

Answer 4

the term 'e' is like pi, but

e = 2.7182818...

Answer 5

oh thats what i forgot. thank you. i thought i was missing something

Answer 6

yw

Answer 7

thanks to both of you. :)

Answer 8

np glad to help