Answer:
53.51 years
Step-by-step explanation:
FV = PV e⁽ⁿˣ⁾
FV = Future Value = $5000
PV = Present Value = $1500
n = Interest Rate = 2.25%
x = time in years = ?
e = mathematical constant = 2.7183
So,
5000 = 1500 e⁽⁰°⁰⁰²⁵ˣ⁾
50 / 15 = e⁽⁰°⁰⁰²⁵ˣ⁾
㏑ (3.3333) = 0.0225x ㏑ (2.7183)
1.2040 = 0.0225x
x = 53.51 year
So, If compounded continuously at an APR of 2.25% the amount invested in an account of $1500 will accumulate to $5000 in 53.51 years.
