Respuesta :
Answer:
12 years.
Step-by-step explanation:
We are asked to find the time it will take to an amount of $1000 to grow to $2000 at a rate of 6% per year.
To find the number of years it will take the amount to double, we will divide 72 by growth rate that is 6% is this case.
[tex]\text{Time it will take to double the amount}=\frac{72}{6}[/tex]
[tex]\text{Time it will take to double the amount}=12[/tex]
Therefore, it will take 12 years for a $1,000 investment to grow to $2,000, assuming the investment grows at 6% per year.
Answer:it will take 12 years
Step-by-step explanation:
Initial amount invested into the account is $1000 This means that the principal,
P = 1000
It was compounded annually. This means that it was compounded once in a year. So
n = 1
The rate at which the principal was compounded is 6%. So
r = 6/100 = 0.06
The formula for compound interest is
A = P(1+r/n)^nt
A = total amount in the account at the end of t years. The total amount is given as $2000
Therefore
2000 = 1000 (1+0.06/1)^1×t
2000 = 1000(1.06)^t
2000/1000 = (1.06)^t
2 = (1.06)^t
t = 12
