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malfutka [58]
3 years ago
12

Find the accumulated value of an investment of $8000 at 9% compounded continuously for 3 years.

Mathematics
1 answer:
Alecsey [184]3 years ago
4 0

Answer:

$10,479.72

Step-by-step explanation:

Use the Compound Amount formula for continuous compounding:

A = Pe^(rt), where r is the interest rate as a decimal fraction.

Here,

A = $8000e^(0.09 · 3), or $8000e^0.27

The accumulated value will be $8000(1.31) = $10,479.72

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