Answer:
63.5 years take for the account to reach $ 14,400.
Step-by-step explanation:
Given: Principal amount, P he invested in in account = $ 1200
Rate if interest , R = 4%
Amount, A = $ 14400
We need to find time in which principal amount reached to Amount.
We know that in banking sector Interest is compounded yearly.
So, We use compound interest formula and take n ( number of time interest applied ) = T ( time )
[tex]A=P(1+\frac{R}{100})^T[/tex]
[tex]14400=1200(1+\frac{4}{100})^T[/tex]
[tex]12=(\frac{104}{100})^T[/tex]
Taking log on both side,
[tex]log\,12=log\,(\frac{104}{100})^T[/tex]
[tex]1.08=T(0.017)[/tex]
[tex]T=\frac{1.08}{0.017}[/tex]
T = 63.5 years
Therefore, 63.5 years take for the account to reach $ 14,400.
