Question
I have no idea how to even begin writing this out. I need help desperately.
A student deposits $6,000 in a savings account with x% continuously compounded interest. How many years must he wait until the balance has doubled?
A student deposits $6,000 in a savings account with x% continuously compounded interest. How many years must he wait until the balance has doubled?
Answers
Steve
A = Pe^xt
where x is the rate and t is the # years.
When the amount has doubled, A=2P, so
2 = e^xt
ln2 = xt
t = ln2/x
where x is the rate and t is the # years.
When the amount has doubled, A=2P, so
2 = e^xt
ln2 = xt
t = ln2/x