A person puts $100.00 into a savings account with 2.4% annual interest rate (computed continuously)....
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A person puts $100.00 into a savings account with 2.4% annual interest rate (computed continuously). The value of such an investment is given by: V=Pe(rt), where P is principal invested, r is the annual interest rate, and t is the number of years receiving interest. After how many years has the total interest exceeded $5.00? Round up to the nearest whole year.
Hint: For convenience, the credit union provided the following table of the exponential function:
r t
V
0.024
1.0243
0.048
1.0492
0.072
1.0747
0.096
1.1008
0.120
1.1275
0.144
1.1549
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V=Pe(rt), where P is principal invested, r is the annual interest rate, and t is the number of years receiving interest. After how many years has the total interest exceeded $5.00? Round up to the nearest whole year.