An initial investment of $200 is now valued at $350. The annual interest rate is 8% compounded continuously. The equation mc022-1.jpg repres

Question

An initial investment of $200 is now valued at $350. The annual interest rate is 8% compounded continuously. The equation mc022-1.jpg represents the situation, where t is the number of years the money has been invested. About how long has the money been invested? Use a calculator and round your answer to the nearest whole number.

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Answers ( No )

    0
    2021-09-09T01:48:39+00:00

    Answer:

    7 years

    Step-by-step explanation:

    An initial investment of $200 is now valued at $350.

    The annual interest rate is 8% compounded continuously.

    Formula:

    A=Pe^{rt}

    Where,

    A is amount, A=350

    P is principle, P=200

    R is rate of interest, r=0.08

    t is time, t=?

    Substitute the value into formula

    350=200e^{0.08\cdot t}

    e^{0.8t}=1.75

    Taking ln both sides

    0.08t = ln(1.75)

    t=6.99\approx 7

    Hence, 7 years ago money was invested.

    0
    2021-09-09T01:49:02+00:00

    Answer:

    Its 7 years

    Step-by-step explanation:

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