Question
If $3000 is invested at 6% p.a. compounding yearly, how long will it take to double the value?
Answers
Henry
P = Po(1+r)^n = 2Po
Po(1.06)^n = 2Po.
Divide by Po:
(1.06)^n = 2.
n*Log 1.06 = Log 2.
n = Log 2/Log 1.06 = 11.9 Compounding
periods = 11.9 yrs.
Po(1.06)^n = 2Po.
Divide by Po:
(1.06)^n = 2.
n*Log 1.06 = Log 2.
n = Log 2/Log 1.06 = 11.9 Compounding
periods = 11.9 yrs.