Question
In how many years does an investment of $5,000 triple if invested at a simple monthly interest rate of 2%?
251
likes1256 views
Answer to a math question In how many years does an investment of $5,000 triple if invested at a simple monthly interest rate of 2%?
Esmeralda
4.7102 Answers
To find the number of years necessary for the investment to triple:
1. Use the simple interest formula:
A = P(1 + rt)
2. Substitute the given values:
A = 3 \times 5000 = 15000 P = 5000 r = 0.02
3. Set up the equation:
15000 = 5000 (1 + 0.02t)
4. Solve for \( t \):
3 = 1 + 0.02t
2 = 0.02t
t = \frac{2}{0.02}
t = 100 \text{ months}
5. Convert months to years:
t = \frac{100}{12}
t \approx 8.33 \text{ years}
Hence, the investment triples in approximately 8.33
1. Use the simple interest formula:
2. Substitute the given values:
3. Set up the equation:
4. Solve for \( t \):
5. Convert months to years:
Hence, the investment triples in approximately
Frequently asked questions (FAQs)
What are the components of the unit vector in the direction of a 3D vector with coordinates (1, 2, 3)?
+
Write a math question: What is the y-coordinate of the vertex of the quadratic function f(x) = x^2?
+
What is the measure of an angle formed by the bisector of a 90° angle and one of its sides?
+
New questions in Mathematics