Question

How long does it take to double a $1,000 investment that pays 6.5% annual interest, compounded monthly?

Answer 1

Answer:

Part one: is b

Part two is 11 years

Step-by-step explanation:

Answer 2

2p=p(1+0.065/12)^12t
2=(1+0.065/12)^12t
Solve for t
T= [log(2)/ log(1+0.065/12)] /12
T= 10.7 years or if you want to round it would be 11

Answer: 10.7 years or 11 years

Answer: You can use the compound interest formula: A=P(1+interest)^n

A=the new capital
P=the capital invested
n= the #of monthly


Hope this helps (: