Question

Isaac invested $1,800 in an account paying an interest rate of 4.7% compounded continuously. Assuming no deposits or withdrawals are made, how much money, to the nearest hundred dollars, would be in the account after 15 years?

Answer 1

Answer:

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

r = R/100

r = 4.7/100

r = 0.047 rate per year,

Then solve for A,

              $A = P\cdot e^{rt}\\\\A= 1800 \cdot (2.71828)^{(.047)(15)}, \ where \ e = 2.71828\\A = 3642.92$  

The amount he receives after 15years $3,642.92