Problema Solution
how many years will it take for $480 to grow to $1,057.19 if it's invested at 8 percent compounded annually.
Answer provided by our tutors
P = $480 the principle
i = 8% or 0.08
A = $1,057.19 the future value
t = years
A = P(1 + i)^t
1,057.19 = 480(1 + 0.08)^t
1.08^t = 1,057.19/480
t = (ln 1,057.19/480)/ (ln(1.08))
t = 10.26 years
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it will take 10.26 year approximately.