Question

Leah invested $950 in an account paying an interest rate of 1.5% compounded continuously. Assuming no deposits or withdrawals are made, how much money, to the nearest dollar, would be in the account after 6 years?

Answer 1

$\bf ~~~~~~ \textit{Continuously Compounding Interest Earned Amount} \\\\ A=Pe^{rt}\qquad \begin{cases} A=\textit{accumulated amount}\\ P=\textit{original amount deposited}\dotfill & \ 950\\ r=rate\to 1.5\%\to \frac{1.5}{100}\dotfill &0.015\\ t=years\dotfill &6 \end{cases} \\\\\\ A=950e^{0.015\cdot 6}\implies A=950e^{0.09}\implies A\approx 1039.5\implies \stackrel{\textit{rounded up}}{A=1040}$