Thomas wants to save money for a vacation. Thomas invests $1,200 in an account that pays an interest rate of 4%. How many years will it take for the account to reach $14,400? Round to nearest hundreth

Question

irishboy123 · Answer

Thomas invests $1,200 [when?] in an account that pays an [annual??} [compounded, simple?? ] interest rate of 4% [per annum???].

anonymous · Answer

That's all that's given

anonymous · Answer

with the formula A=P(1+r)^t @irishboy123

irishboy123 · Answer

this formula is for interest credited and compounded on annual basis on money invested on day 1

$A(t)=P(1+r)^t$ is a straight substitution of

A(t) = $14,400
P = $1,200
r = 0.04
t = what you want to find

you will need to take logs....

Thomas will need to live for quite some time.