Any principal amount invested at 5% annual interested takes 15 years to double. How many years does it take for the principal amount to triple?

Answer 1

Greetings! Lets solve this shall we ?

So, we must solve this equation such that the output is triple the initial investment. Then,

3P = Pe^(.05)t, to solve for t = time. We divide P first such that

3 = e^.05t............Then we take the natural log of both sides such that

ln3 = lne^.05t............Bring the .05t down in front such that

ln3 = 0.50t lne..............lne = 1 after converting it to exponential form then divide 0.05 such that

t = (ln3/0.05) = 22 years

I hope this helped!