Maxxie purchased a tract of land for $24,500. Today, the same land is worth $43,800. How many years have passed if the price of the land has increased at an annual rate of 6.4 percent

9.35 years

Explanation:

To find the numbers of years that have passed, you can use the following formula:

n = ln (FV / IV) / ln (1 + r)

n = number of periods

FV = Future value = $43,800

IV = Initial value = $24,500

r = rate = 6.4%

n=ln (43,800/24,500) / ln (1+0.064)

n = ln1.79/ln1.064

n=0.58/0.062

n = 9.35

According to this, 9.35 years have passed.