Time to accumulate a given sum Personal Finance ProblemManuel Rios wishes to determine how long it will take an initial deposit of $11,000 to double.

a.If Manuel earns 11%annual interest on the deposit, how long will it take for him to double his money?

b.How long will it take if he earns only 8% annual interest?

c.How long will it take if he can earn 13% annual interest?

d. Reviewing your findings in parts a,b,and c, indicate what relationship exists between the interest rate and the amount of time it will take Manuel to double his money.

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Part 1

a.If Manuel earns 11% annual interest, the amount of time to double his money is enter your response here years. ----------- (Round to two decimal places.)

Part 2

b.If Manuel earns 8% annual interest, the amount of time to double his money is enter your response here years. ------------------- (Round to two decimal places.)

Part 3

c.If Manuel earns 13% annual interest the amount of time to double his money is enter your response here years. ----------- (Round to two decimal places.)

Part 4

d. Reviewing your findings in parts a,b, and c, indicate what relationship exists between the interest rate and the amount of time it will take Manuel to double his money.(Select the best answer below.)

A.

The higher the rate of interest, the more time is required to accumulate a given future sum.

B.

The lower the rate of interest, the less time is required to accumulate a given future sum.

C.

The interest rate does not affect how long it will take to accumulate a given future value.

D.

The higher the rate of interest, the less time is required to accumulate a given future sum.