00:01
Look at this problem with continuous compounding.
00:02
We have $9 ,100 as an investment.
00:06
We're compounding continuously and we're given a rate of 5%.
00:10
Now our continuous compound formula is the amount in the account is equal to the principal times the natural base e to the power of the rate times time.
00:21
Now we're given two of those variables.
00:23
We have our initial investment of 9 ,100 and we have our rate of 5%.
00:30
And let's say our rate as a number is 0 .05.
00:35
Now in this question, we're asked for what is the time to double? and so i have my $9 ,100.
00:45
If we are doubling the $9 ,100, we want to know when is the account, the amount, equal to 18 ,200.
00:56
So let's replace our variables and then let's use some algebraic means to solve the problem.
01:01
So our amount that we have is 18 ,200.
01:04
That's our goal.
01:06
We're starting with a principle of $9 ,100.
01:09
We have the natural base e with the rate of 5%...