Answer:
Therefore it will take 28 years.
Step-by-step explanation:
To find the years, we use the following formula,
[tex]A=P(1+r)^n[/tex]
A= Total balance after n years
P= Initial amount.
r= Rate of interest per year.
n = Time in years.
Given that, Josh's grandparents put $3,000 into a college saving account when he was born. The account earn 6% interest per years.
Here A=$15,000,P=$3,000, r=6%=0.06 ,n=?
[tex]\therefore 15,000=3,000(1+0.06)^n[/tex]
[tex]\Rightarrow (1.06)^n=\frac{15,000}{3,000}[/tex]
[tex]\Rightarrow (1.06)^n=5[/tex]
Taking ln both sides
[tex]\Rightarrow ln(1.06)^n=ln(5)[/tex]
[tex]\Rightarrow n=\frac{ln(5)}{ln(1.06)}[/tex]
[tex]\Rightarrow n\approx 28[/tex]
Therefore it will take 28 years.
