If Sarah invests $5,000 into a fund that earns 6% interest compounded annually, how long will it take for her investment to grow into $50,000?

About 20 years

About 40 years

About 35 years

About 4 years

40

Step-by-step explanation:

so next year her money would be 6% more so:

5000 + (0.6 * 5000) = (1.06) * 5000

So each year she'll have : (1.06) * (last year's money)

So we can say after n years she will have:

((1.06) ^n) * 5000

So:

5000 ((1.06) ^n) = 50000

n is 39.5

So around 40