Answer:
It will take 8.73 years.
Step-by-step explanation:
Giving the following information:
Initial investment (PV)= $1,000
Future value (FV)= $1,500
Interest rate (i)= 4.75% compounded annually
<u>To calculate the time required for the initial investment to reach the objective, we need to use the following formula:</u>
<u></u>
n= ln(FV/PV) / ln(1+i)
n= ln(1,500/1,000) / (1.0475)
n= 8.73
It will take 8.73 years.
