Question

Jimmy invests $15,000 in an account that pays 8.90% compounded quarterly. How long (in years and months) will it take for his investment to reach $22,000?

Answer 1

22000=15000(1+.089/4)^4t
22/15=(1.02225)^4t
log(22/15)=4tlog1.02225
(log(22/15)/4log1.02225)=t
(.16633/.038228)=t
t=4.35 years or 4 years and approximately 4 months