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28 September, 02:48

The compound amount with continuous compounding is given by A = Pe^rt where P is the principal, r the rate and t the time in years. If the rate is 8% find how long it takes for the money to double that is for A = 2P (ln2=0.69315)

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  1. 28 September, 02:53
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    2p=pe^0.08t

    2=e^0.08t

    Log (2) = 0.08t*log (e)

    T = (log (2) : log (e)) / 0.08==8.66years
  2. 28 September, 03:13
    0
    3.85 yrs i think tell me if im right
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