Suppose you invest $500 at an annual interest rate of 7.1% compounded continuously. How much will you have in the account after 4 years? Round the solution to the nearest dollar.
Question
Answer:
Answer: You will have $664.22 after 4 years of continuous interest.To find the value of your investment using continuous interest, you have to use the equation: A = Pe^(rt)
Just plug in the values you know and evaluate:
A = 500e^(0.071x4)
A = $664.22 is the amount of your account after 4 years.
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11 months ago
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