Mathematics
ejperry2
2016-04-29 20:58:27
How long will it take a $800 investment to be worth $900 if it is continuously compounded at 11% per year?
ANSWERS
jerickson83
2016-04-30 03:35:24

The formula is A=p e^rt A future value 900 P present value 800 E constant R interest rate 0.11 T time? We need to solve for t T=[log (A/p)÷log (e)]÷r T=(log(900÷800)÷log(e))÷0.11 T=1.07 years round your answer to get 1 year

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