Answer:
54.5 years.
Step-by-step explanation:
From the above question, we are asked to find the time
The formula for Time(t) =
t = log(A/P) / n[log(1 + r/n)]
A = Amount accumulated after a particular interest and period of time = $80,000
P = Principal (Money invested) = $4,000
r = rate = 5.5% = 0.055
n = compounding frequency = compounding continuously
n = number of days in a year × number of hours in a day
= 365 days × 24 hours = 8760
t = log(A/P) / n[log(1 + r/n)]
t = log(80,000/4,000) /8760[log(1 + 0.055/8760)]
t = log(80000 ÷ 4000) ÷ (8760 × [log(1 + 0.0000062785)]
t = 54.468367222 years
Approximately to the nearest tenth of a year, therefore, the length of time it will it take for his money to reach $80,000 is 54.5 years
