Question

Need help with #11. The answer is about 13.86 years but show work please.

Answer 1

Answer:

13.86

Step-by-step explanation:

formula for cont. compounding interest is

Amount = Principal * e^rt

in this case the principal is 5000, and the amount is 10000 (double). the rate is 5% or 0.05. and t is what we are solving for.

sub in to get:

10000 = 5000e^0.05t

2 = e^0.05t

now convert to log form.

ln 2 = 0.05t

ln 2 / 0.05 = t

punch that into your calculator and you get 13.86 years