how long will it take you to triple an amount of $500 if you invest it at a rate of 6% compounded annually ?

Question

^{application of logs} 

Answer 1

Solve for t (number of years) in

 

3x500 = 500(1.06)^t

 

3 = 1.06^t

 

log3 = t log1.06

 

t = log3 / log1.06 ≅ 18.85 years