Problema Solution
If $6,000 is placed in an account with an annual interest rate of 6%m how long will it take the amount to quadruple if the interest is compounded annually? Round your answer to two decimal places.
Answer provided by our tutors
A=P(1+r/q)^nq.
4P=P(1+0.06)^n.
4=1.06^n.
Taking lograthms both sides
ln 4=n ln (1.06).
n=ln4/(ln 106)
=23.79 years
Or say 24 years.