A loan of $43,000 is made at 7% interest, compounded annually. After how many years will the amount due reach $72,000 or more? (Use the calculator provided if necessary.)

To solve this problem, we can use the formula for compound interest, which is:

A = P(1 + r/n)^(nt)

where: A = the amount of money accumulated after n years, including interest. P = the principal amount (the initial amount of money) r = annual interest rate (in decimal) n = number of times that interest is compounded per year t = the time the money is invested for in years

In this case, we are trying to find out the time 't', so we will need to rearrange the formula to solve for 't'.

Given: P = $43,000 A =$72,000 r = 7% or 0.07 (in decimal) n = 1 (since the interest is compounded annually)

Substituting these values into the formula, we get:

$72,000 =$43,000(1 + 0.07/1)^(1*t)

To isolate 't', we first divide both sides by $43,000:

$72,000/$43,000 = (1 + 0.07)^t

1.6744 = (1.07)^t

Now, to solve for 't', we can take the natural logarithm (ln) of both sides:

ln(1.6744) = t * ln(1.07)

Then, divide both sides by ln(1.07) to solve for 't':

t = ln(1.6744) / ln(1.07)

Using a calculator, we find that:

t ≈ 7.2 years

So, it will take approximately 7.2 years for the amount due to reach $72,000 or more.