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Nezavi [6.7K]
3 years ago
14

In Exercise,find the balance in the account after 10 years.

Mathematics
1 answer:
djverab [1.8K]3 years ago
3 0

Answer: The balance in the account after 10 years is $3374.65

Step-by-step explanation:

The exponential equation for growth [ compounded continuously] is

y=pe^{rt}

, where P= Present value

r= growth rate  ( in decimal)

t= time (years)

By considering the given information , we have

p=$2500  r = % =0.03  and t= 10

Substitute all the values in the above equation , we get

y=2500e^{0.03(10)}

y=2500e^{0.3}

y=2500(1.3498588)=3374.64701894\approx3374.65  [Round to the nearest cent]

Therefore, the balance in the account after 10 years is $3374.65

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