in the account grows to 5304 dollars?
2007-12-12 05:38:55 · 6 answers · asked by simonkf2002 1 in Science & Mathematics ➔ Mathematics
5304 = 3400(1.09)^n
1.56 = 1.09^n
log 1.56 = n log 1.09
n = (log1.56)/log(1.09) years
2007-12-12 05:45:40 · answer #1 · answered by ironduke8159 7 · 0⤊ 0⤋
Principle amt= 3400 dollars. Interest 9% per year.
!st year interest= (3400*9)/100= 306 dollars.
Given account grows to 5304 dollars.
Principle+interest = 5304.
Interest= 5304- principle.
5304- 3400= 1904.
For one year interest=306 dollars.
To get an interest of 1904 dollars it takes 1904/306 years.
6.22years.
Ans. For a principle amt of 3400 dollars, at 9%/ year It takes
nearly 6 years, 2and half months to become the total amt of
5304 dollars.
2007-12-12 14:08:24 · answer #2 · answered by Sasi Kumar 4 · 0⤊ 0⤋
FV = P(1+r)^t
FV = future value
P = present value
r = rate of return
t = time
5304 = 3400(1.09)^t
5304/3400 = 1.09^t
1.09^t = 1.56
t log 1.09 = log 1.56
t = log 1.56/log 1.09
t = 0.1931246 / 0.0374265
t = 5.16 years = 5 years, 2 months
Hope this helps!
2007-12-12 13:48:15 · answer #3 · answered by disposable_hero_too 6 · 0⤊ 0⤋
The balance your account has grown to at some point in the future is known as the future value of your starting principal.
here is a site that will explain and show you how to calculate future value:
http://www.moneychimp.com/articles/finworks/fmfutval.htm
2007-12-12 13:52:34 · answer #4 · answered by michaell 6 · 0⤊ 0⤋
Interest=p(1+r/100)^n
interset =5304-3400
interest=1904
P=3400
r=9
1904=3400(1+9/100)^n
1904/3400=(1+.09)^n
1904/3400=1.09^n
.56=1.09^n
log.56=log1.09^n
log.56=nlog1.09
log.56/log1.09=n
-.2518/.0374= n
6.73=n
the amount will grow to 5304 in6.73 years
2007-12-12 13:47:49 · answer #5 · answered by Siva 5 · 0⤊ 1⤋
Didn't your teacher give you the formula for these type of problems?
2007-12-12 13:43:42 · answer #6 · answered by Anonymous · 0⤊ 1⤋