Solve the Problem. -How Long Will It Take for an Investment to Triple

question 133

Multiple Choice

Solve the problem.
-How long will it take for an investment to triple in value if it earns 11.5% compounded continuously? Round your answer to three decimal places.

• A)10.024 yr
• B)6.027 yr
• C)9.553 yr
• D)4.777 yr

---

Definitions:

Debt-Equity Ratio

This ratio measures the balance between financing a company's assets with equity compared to debt.

Degree of Financial

The measure of a firm's financial leverage, indicating the level of financial risk by comparing debt to equity or assets.

Net Income

The profit of a company after all expenses, taxes, and costs have been subtracted from total revenue, indicating the actual profit earned during a specific period.

Interest Expense

The expense an entity faces over time for borrowing funds.