Answer: $ 3462.03
Step-by-step explanation:
The exponential equation for growth (compounded continuously) is given by :-
, where P= Present value
r= growth rate ( in decimal)
t= time
As per given , we have
P=$1900, r = 6% =0.06 and t= 10
Substitute all the values in the above equation , we get
[To the nearest cent]
Hence, the balance in the account after 10 years = $ 3462.03
Answer:
b
Step-by-step explanation:
yes
Answer:
A
Step-by-step explanation:
To convert mixed number as improper fractions, use this rule:
<u>For Juan:</u> (
)
<u>For Antonio:</u> (
)
Answer choice A is correct.
Assuming he had not dealt with the bank offering plan B before, he has nothing deposited two years back. Hence plan B only gives him only 0.2% annual interest for his deposit.
Plan A gives 0.25% for his deposit all the time.
So plan A is more advantageous.
For durations,
To reach $1,000,000 from $100,000, the money needs to grow 10 fold, or
(1+i)^n=10
n=log(10)/log(1+i).
So for plan A:
n=log(10)/log(1.0025)=922.18 years, while for
plan B
n=log(10)/log(1.0020)=1152.44 years.
Hope the bank(s) still exist at that time.
