Recall that we derived the following formula:

This formula told us how to obtain the maturity value on a simple discount loan if we are given proceeds, the discount rate, and the term. If a loan?s annual simple discount rate is 5.11% how many years would it take for the debt to double? (This is called the doubling time of a loan).

Round your answer to the nearest tenth of a year.

Transcribed Image Text:

M= P 1-dRT M= P 1-dRT

Answer rating: 100% (QA)

M P1 dR T dR 511 00511 Loan becom... View the full answer