Problem 330: A sum of money invested at 2000 per 6 month period will double is...

Question

Question

Problem 330: A sum of money invested at 2000 per 6 month period will double is amount in approximately how Solution Future Su

Answer 1

Answer #1

i = 2% per semi annual period

Let n be total no. of semiannual period in which amount doubles

Then F= 2*P

2P = P*(1+0.02)^n

1.02^n = 2

Taking log both sides

n = log 2 / log 1.02

n = 35.0027 semiannual periods

No of years = 35.0027 / 2 = 17.50 yrs

Answer 2

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