Part I Graded Problems Please show All work L 12 Points Supp

Part I Graded Problems. Please show All work. L. (12 Points) Suppose you are monthly. How old will you be by the time you have accumulated a half million dollars? In case you don\'t have the discrete compound interest formula written down here it is: 22yearsold and you invest $25 000at % annual interest compounded rtí

Solution

A=P(1+r/n)^nt

500000=25000(1+0.09/12)^12t

20= (12.09/12)^12t

log 20= 12 t *log(12.09/12)

t=33.4 years