Question

an investment of Rs 100000 is made which on interest at the rate of 8% per year if the interest is compounded continuously to what value with investment grow in 7 year period​

Answer 1

Answer:

A = $174,742.21

A = P + I where

P (principal) = $100,000.00

I (interest) = $74,742.21

Step-by-step explanation:

First, convert R as a percent to r as a decimal

r = R/100

r = 8/100

r = 0.08 rate per year,

Then solve the equation for A

A = P(1 + r/n)nt

A = 100,000.00(1 + 0.08/12)(12)(7)

A = 100,000.00(1 + 0.006666667)(84)

A = $174,742.21

Summary:

The total amount accrued, principal plus interest, with compound interest on a principal of $100,000.00 at a rate of 8% per year compounded 12 times per year over 7 years is $174,742.21.