9514 1404 393
Answer:
17.6 years
Step-by-step explanation:
The compound interest formula is useful for figuring this out.
A = P(1 +r/n)^(nt) . . . . . interest r compounded n per year for t years
Filling in the given values and solving for t, we have ...
5900 = 2000(1 +.0625/2)^(2t)
2.95 = 1.03125^(2t) . . . . divide by 2000, simplify
log(2.95) = 2t×log(1.03125) . . . . take logarithms
t = log(2.95)/(2×log(1.03125) . . . . divide by the coefficient of t
t ≈ 17.6
The person must leave the money in the bank for 17.6 years.
