Suppose you invest $400 at an annual interest rate of 7.6% compounded continuously. How much will you have in the account after 1.5 years? Round the solution to the nearest dollar.
Question
Answer:
[tex]\bf ~~~~~~ \textit{Compounding Continuosly Interest Earned Amount}\\\\
A=Pe^{rt}\qquad
\begin{cases}
A=\textit{accumulated amount}\\
P=\textit{original amount deposited}\to& \$400\\
r=rate\to 7.6\%\to \frac{7.6}{100}\to &0.076\\
t=years\to &1.5
\end{cases}
\\\\\\
A=400e^{0.076\cdot 1.5}\implies A=400e^{0.114}[/tex]
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general
11 months ago
1965