Question

using compound interest, how long does it take to double a 1000 dollar investment that pays 6.5% annual interest, compounded monthly?​

Answer 1

Answer:

11 years approx

Step-by-step explanation:

Given data

P=$1000

A=2000

R=6.5%

T= ?

Calculate time, solve for t

t = ln(A/P) / r

substitute

t=ln(2000/1000)/0.065

t=ln(2)/0.065

t=0.693/0.065

t=10.66

Hence the time is 11 years approx