2. You just won $25,000 and deposited your winnings into an account that pays 12.6 percent...

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2. You just won $25,000 and deposited your winnings into an account that pays 12.6 percent interest, compounded annually. How

business accounting

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Answer 1

Answer #1

Principal = $25000

Rate of return = 12.6% p.a. compounded annually

Amount to be recieved after " n " number of years = $ 50000

So , the equation is

25000 × (1.126)^n = 50000

(1.126)^n = 2

n = 5.84 years

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Answer 2

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