Problema Solution
If $8,000 is placed in an account with an annual interest rate of 4%, how long will it take the amount to triple if the interest is compounded annually? Round your answer to two decimal places
Answer provided by our tutors
A=P(1+r)^n.
24000=8000(1+0.04)^n.
3=1.04^n.
Taking logarthm both sides.
ln3=ln(1.04)^n.
n=(ln3)/ln1.04
=28 yeras.