Question

During a​ 5-year period of constant​ inflation, the value of a ​$104 comma 000 property increases according to the equation v equals 104 comma 000 e Superscript 0.04 t dollars. In how many years will the value of this building be double its current​ value?
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Part 1
In
  
enter your response here ​years, the value of the building will double its current value.
​(Type an integer or a decimal rounded to two decimal places as​ needed.)

Answers

GPT-4o mini
To find out when the value of the property will double, we first need to set up the equation for the doubled value:

The current value of the property is \( v = 104,000 \). When it doubles, the value becomes \( 2 \times 104,000 = 208,000 \).

According to the equation provided:

\[
v = 104,000 e^{0.04t}
\]

We want to set this equation equal to \( 208,000 \):

\[
208,000 = 104,000 e^{0.04t}
\]

Now, we can divide both sides by \( 104,000 \):

\[
2 = e^{0.04t}
\]

Next, we take the natural logarithm of both sides:

\[
\ln(2) = \ln(e^{0.04t})
\]

Using the property of logarithms that states \( \ln(e^x) = x \):

\[
\ln(2) = 0.04t
\]

Now, we solve for \( t \):

\[
t = \frac{\ln(2)}{0.04}
\]

Calculating \( \ln(2) \):

\[
\ln(2) \approx 0.6931
\]

Substituting this value in:

\[
t \approx \frac{0.6931}{0.04} \approx 17.3275
\]

Rounding this to two decimal places:

\[
t \approx 17.33
\]

Therefore, in approximately **17.33 years**, the value of the building will double its current value.