Question

Help anyone?

Candice deposited $3,587.39 into a savings account with an interest rate of 4.2% compounded twice a year. About how long will it take for the account to be worth $5,000?

8 years, 0 months

16 years, 7 month

8 years, 1 month

9 years, 10 months

Answer 1

@ranga

Answer 2

\[\Large A = P(1 + \frac{ r }{ n })^{nt}\]
P = $3,587.39
A = $5,000
r = 4.2/100 = 0.042
n = 2
Plug all the numbers in and let me know what you get.

Answer 3

I got 0

Answer 4

?

Answer 5

You don't have to solve for t yet. Just plug in all the numbers, simplify and let me know what you get. Then we will do the next step and solve for t.

Answer 6

I got 3739.64

Answer 7

You got got 3739.64 for what?

Answer 8

plugging in all the numbers

Answer 9

Plug in the numbers into the formula:

5000 = 3587.39 * ( 1 + 0.042 / 2 )^(2t)
5000 = 3587.39 * (1.021)^(2t)
Divide both sides by 3587.39
1.3938 = (1.021)^(2t)
Take log on both sides
log(1.3938) = log((1.021)^(2t))
log(1.3938) = 2t * log(1.021)
0.1442 = 2t * 0.0090 = 0.018t
divide both sides by 0.018
8.0 = t

Sp t = 8 years, 0 months.

Answer 10

So t = 8 years, 0 months.

Answer 11

Ahhhhh thank you so much

Answer 12

alright.