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ss7ja [257]
4 years ago
9

Ivan invested $2,900 in an account with nominal annual interest rate of 8%, compounded continuously. What is the account balance

after 4 years?
Mathematics
1 answer:
jeka944 years ago
3 0

Answer:

The amount would be $ 3993.67 (approx)

Step-by-step explanation:

Given,

The invested amount or principal amount, P = $ 2,900

The annual rate of interest, r = 8% = 0.08,

Since, the amount formula in compound continuously interest,

A=P e^{rt}

Where,

t = number of years,

Hence, the account balance after 4 years,

A=2900 e^{0.08\times 4}=2900 e^{0.32}\approx \$3993.67

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