A person invests 8000 dollars in a bank. The bank pays 4.75% interest compounded daily. To the nearest tenth of a year, how long must the person leave the money in the bank until it reaches 20400 dollars?

Solution

Solution

Time : 19.71

Solution steps

Translate the problem into an equation:

20400 = 8000 (1 + \frac{0.0475}{365})^{365 t}

Solve for

t, 20400 = 8000 (1 + \frac{0.0475}{365})^{365 t} : t = 19.71

Time : 19.71

Popular Examples

the sum of two numbers is 45. four times the smaller number is 23 more than three times the larger number. find the numbers What is the volume of a sphere with a radius of 6.1 m, rounded to the nearest tenth of a cubic meter?A store pays 486 for a row boat and marks the price up by 11%. What is the amount of the mark-up?John deposits 5000 into an account that pays simple interest at a rate of 6 percent per year. How much interest will he be paid in the first 6 years?The sum of two numbers is 10 and the sum of their reciprocals is 5/12 Find the numbers.:Correct: