how much would $500 invested at 5% interest compounded continuously be worth after 8 years? Round your answer to the nearest cen

Question

Amiraneli [1.4K]

3 years ago

11

how much would $500 invested at 5% interest compounded continuously be worth after 8 years? Round your answer to the nearest cen

t.

Mathematics

2 answers:

yawa3891 [41] · Answer 1 · 2022-08-26T01:31:26+03:00

yawa3891 [41]3 years ago

8 0

Use the formula for continuous compounding:

A = Ce^(r*t), where r is the annual interest rate as a decimal fraction.

Here,

A = $500*e^(0.05*8) = $745.91 (answer)

Nady [450] · Answer 2 · 2022-08-26T02:52:14+03:00

Nady [450]3 years ago

8 0

I've answered the question in the photo, so you can visualise the question better as I've done it step-by-step. Hope this helps!