Question

Suppose an investment of $3,500 doubles every 2 years. How much is itworth in 20 years?What is the equation of the function?After 20 years the investment is worth $?

Answer 1

Answer:

$3,584,000

Explanation:

The initial value of the investment = $3500

Since the investment doubles every two years, the function showing the value of the investment after t years is given as:

$f(t)=3500(2)^{\frac{t}{2}}_{}$

After 20 years, i.e. When t=20 years

$\begin{gathered} f(20)=3500\times2^{\frac{20}{2}} \\ =3500\times2^{10} \\ =\ 3,584,000 \end{gathered}$

After 20 years the investment is worth $3,584,000.