Answer: About 16 years
Step-by-step explanation:
The formula to find the compound amount if compounded continuously is given by :-
, where P is Principal amount, r is the rate of interest ( in decimal) and t is time ( in years).
Given : P= $1000 ; r= 4.6%=0.046
let t be the time it will take to double the amount, the we have
Dividing 1000 both sides, we get
Taking natural log on each side, we get
Hence, it will take about 16 years to double the amount.