If I invest $2,500 in an account that yields 7.5% interest, how many years will it take to reach a total of $10,000 if it is compounded monthly.

A=P (1 + (r/n) ^nt

Question

Giselle Taylor

Mathematics

8 September, 23:42

If I invest $2,500 in an account that yields 7.5% interest, how many years will it take to reach a total of $10,000 if it is compounded monthly.

A=P (1 + (r/n) ^nt

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Answers (1)

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Kadyn Pace · Answer 1

You can use guess and check, and first, 2500 * (107.5%) ^20 would get us 10619.6277506, and then 19 would guess us an answer that is less than 10000, so 20 months = 1 2/3 years.

If I invest $2,500 in an account that yields 7.5% interest, how many years will it take to reach a total of $10,000 if it is compounded monthly.A=P (1 + (r/n) ^nt

If I invest $2,500 in an account that yields 7.5% interest, how many years will it take to reach a total of $10,000 if it is compounded monthly.

A=P (1 + (r/n) ^nt