Answer: he would have $13134 at the end of 10 years
Step-by-step explanation:
The formula for continuously compounded interest is
A = P x e (r x t)
Where
A represents the future value of the investment after t years.
P represents the present value or initial amount invested
r represents the interest rate
t represents the time in years for which the investment was made.
e is the mathematical constant approximated as 2.7183.
From the information given,
P = $9000
r = 3.79% = 3.78/100 = 0.0378
t = 10 years
Therefore,
A = 9000 x 2.7183^(0.0378 x 10)
A = 9000 x 2.7183^(0.378)
A = $13134 to the nearest dollar
