How many years will it take for money to double when it is compounded yearly at 6% per year?

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How many years will it take for money to double when it is compounded yearly at 6% per year?

This is from Chapter 9, Exercise 9-4, #37 of Fundamentals of Technical Mathematics (2nd edition): The formula for compound interest is A = P(1+i)^n, where A = amount after n interest periods, P = principal (the initial amount), and i = interest rate per period. How many years will it take for money to double when it is compounded yearly at 6 percent per year? (Hint: Let A = 2P.)

2007-12-03 12:16:59 · 2 answers · asked by jhsablebomb 2 in Education & Reference ➔ Homework Help

2 answers

2 = (1.06)^X

solve for X

2007-12-03 12:22:09 · answer #1 · answered by spirit dummy 5 · 0⤊ 0⤋

11.7 years

2007-12-03 12:25:10 · answer #2 · answered by Matt D 6 · 0⤊ 0⤋