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elena-s [515]
3 years ago
11

I am terrible at math, may you please help me

Mathematics
1 answer:
Alexxx [7]3 years ago
8 0
Either B or D. I’m not even sure
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An initial investment of $100 is now valued at $150. The annual interest rate is 5%, compounded continuously. The equation 100e0
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Answer:

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Step-by-step explanation:

we know that

The formula to calculate continuously compounded interest is equal to

A=P(e)^{rt}  

where  

A is the Final Investment Value  

P is the Principal amount of money to be invested  

r is the rate of interest in decimal  

t is Number of Time Periods  

e is the mathematical constant number

we have  

t=?\ years\\ P=\$100\\A=\$150\\ r=0.05  

substitute in the formula above  

150=100(e)^{0.05*t}  

1.5=(e)^{0.05*t}  

Applying ln both sides

ln(1.5)=(0.05t)ln(e)  

ln(1.5)=(0.05t)  

t=ln(1.5)/(0.05)  

t=8\ years  

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