Question

1.) how much will $5000 be worth in 5 years if it is compounded continuously at 3% interest.

Answer 1

Answer:

$5809.17

$6149.01

$2211.72

Step-by-step explanation:

Continous interest formula:

(pv)e^(rt)

we have

5000e^(5*.03)= 5809.17

Same equation from before

2500e^(.09*10)= 6149.01

2000e^(.0575*(21/12))

(we write 21/12 because that's how many years has passed)

= 2211.72