Question

Uninhibited Growth Model. This is an example problem from the book and need help figuring it out?

a) If $3500 is invested in an account that pays 5% interest compounded continuously, how long will it take to grow to $7000.

b) How much money will the account be worth in 20 years.

Answer 1

http://www.onlinecalculatorfree.org/law-of-uninhibited-growth-calculator.html#.WsHVGDMh02w
I found this free calculator on-line.
I saw your question earlier in the day but was unable to help you.

Answer 2

As MsPi's webpage shows the general formula for continuous growth is
amount = principal e^(kt), where k is the perodic rate as a decimal and t is the number of periods (in most cases the period is in years, like in your question)

3500 e^(.05t) = 7000
e^(.05t) = 2
take ln of both sides and use your log rules

.05t (ln e) = ln 2
.05t = .693147...
t = appr 13.9 years

for the second part simply replace t = 20 in the formula