Westonci.ca is the best place to get answers to your questions, provided by a community of experienced and knowledgeable experts. Join our platform to connect with experts ready to provide precise answers to your questions in various areas. Join our platform to connect with experts ready to provide precise answers to your questions in different areas.

At his son's birth, a man invested $2,000 in savings at 6% for his son's college education.

Approximately how much, to the nearest dollar, will be available in 19 years? (Do not use comma placeholder in response.)

Rounded to the nearest year, approximately how long will it take for the man’s investment to double?


Sagot :

now, this is assuming the 6% is at simple interest rate.

[tex]~~~~~~ \textit{Simple Interest Earned Amount} \\\\ A=P(1+rt)\qquad \begin{cases} A=\textit{accumulated amount}\\ P=\textit{original amount deposited}\dotfill & \$2000\\ r=rate\to 6\%\to \frac{6}{100}\dotfill &0.06\\ t=years\dotfill &19 \end{cases} \\\\\\ A=2000[1+(0.06)(19)]\implies A=2000(1.54)\implies A=3080 \\\\[-0.35em] ~\dotfill[/tex]

[tex]~~~~~~ \textit{Simple Interest Earned Amount} \\\\ A=P(1+rt)\qquad \begin{cases} A=\textit{accumulated amount}\dotfill & \$4000\\ P=\textit{original amount deposited}\dotfill & \$2000\\ r=rate\to 6\%\to \frac{6}{100}\dotfill &0.06\\ t=years \end{cases} \\\\\\ 4000=2000[1+(0.06)(t)]\implies \cfrac{4000}{2000}=1.06t \\\\\\ 2=1.06t\implies \cfrac{2}{1.06}=t\implies 1.89\approx t\implies \stackrel{\textit{rounded up}}{2\approx t}[/tex]

Answer:

value in 19 years: $6051

years to double: 12

We appreciate your visit. Our platform is always here to offer accurate and reliable answers. Return anytime. We hope you found what you were looking for. Feel free to revisit us for more answers and updated information. We're here to help at Westonci.ca. Keep visiting for the best answers to your questions.