Answer:
Step-by-step explanation:
We would apply the formula for determining compound interest which is expressed as
A = P(1+r/n)^nt
Where
A = total amount in the account at the end of t years
r represents the interest rate.
n represents the periodic interval at which it was compounded.
P represents the principal or initial amount deposited
From the information given,
P = 1000
r = 12% = 12/100 = 0.12
n = 4 because it was compounded 4 times in a year.
A = 6000
Therefore,.
6000 = 1000(1+0.12/4)^4 × t
6000/1000 = (1 + 0.03)^4t
6 = 1.03^4t
Taking log of both sides of the equation, it becomes
Log 6 = log 1.03^4t
0.778 = 4tlog 1.03
0.778 = 4t × 0.0128
0.778 = 0.0512t
t = 0.778/0.0512
t = 15.2 years
