dale has 2000 to invest. his goal is to have 4, 800 in this investment in 8 years. at what annual rate compounded continuously will dale reach his goal?

Solution

Solution

Rate : 10.94335 \dots %

Solution steps

Translate the problem into an equation:

4800 = 2000 e^{r \cdot 8}

Solve for

r, 4800 = 2000 e^{r \cdot 8} : r = 10.94335 \dots %

Rate : 10.94335 \dots %

Popular Examples

A few years ago, a total of 2681 thousand people lived in the metropolitan areas of Las Vegas, Nevada, and Sacramento, California. Sacramento had 285 thousand more residents than Las Vegas. What was the population of each metropolitan area?The sum of 6 times a number and 5 is equal to 7.MA110 Elementary Statistics Assignment 15 Topic 5c You roll a six sided die and pull a card from a deck. What is the probability that you will roll an even number and pull a face card from the deck?What is the result when the number 20 is increased by 50%?Owen and Paige can paint a room in 7 days. If Owen can paint it alone in 12 days, how many days will it take for Paige to paint the room