If you deposit $700 into an account paying 12% interest compounded continuously, how many years will it take for the original investment to triple? Round your answer to the nearest tenth of a year.

enter image source here

Formula to use for this problem.

1 Answer
Dean R.
May 4, 2018

#t = ln 3 / .12 approx 9.2 # years

Explanation:

Thanks for the poster. We don't particularly care about the value of #P#; it won't affect the tripling time.

#3P = P e^{.12 t}#

#ln 3 = .12 t #

#t = ln 3 / .12 approx 9.155 # years

Related questions
Impact of this question
1643 views around the world
You can reuse this answer
Creative Commons License