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For compounding quarterly
A = p(1 + $\frac{r}{100} \times \frac{1}{4}$)n x 4
71 105 = 50 000 (1 + $\frac{18}{100}\times \frac{1}{4}$)4n
$\frac{71 105}{50 000}$ = (1 + 0.045)4n
1.4221 = (1.0.045)4n
Take logarithms of both sides
log 1.4221 = 4n log 1.045
$\frac{log 1.4221}{log 1.045}$ = 4n
$\frac{0.1529}{0.0191}$ = 4n; 8.0068 = 4n
n = 2.0017
Time taken to accumulate that amount is 2 years
johnmulu answered the question on March 7, 2017 at 08:23
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