Joe deposits $3500 into a bank account that earns interest compounded continuously. If Joe's money

Mathematics

1 answer:

Greeley [361]4 years ago

6 0

Answer: 8%.

Step-by-step explanation:

To find this answer, use the compounding interest rate formula, or an exponential function:

$A = P(r)^t$

Where A is the amount of money after t years, using P (principal) dollars as the investment and r as the rate.

We are trying to solve for r, so substitute the correct values for the other three variables:

$7000 = 3500(r)^9\\\\2 = r^9$

Solving for r, we find that r to the ninth power equals 2.

Simplifying this, r is equal to 2^(1/9), or 1.08~. The interest rate was 8 percent.

You might be interested in

Solve this problem as FAST as YOU can

natka813 [3]

That's actually tough

3 0

3 years ago

You invested money in two funds. Last year, the first fund paid a dividend of 9% and the second a dividend of 3%, and you receiv

Elden [556K]

If the amount of money you invested in the first fund is x and the second fund y, then 9% (or 0.09 by moving the decimal 2 spots)*x+0.03*y=1047 since the first fund paid 9% and the second 3%. In addition, for this year, we get
0.1*x+0.01*y=811.
We also have 0.09*x+0.03*y=1047, so we can multiply the top equation by -3 and add it to the second to get -0.21x=-1386. Dividing both sides by -0.21, we get x=6600. In addition, since 0.1*x+0.01*y=811, we can plug 6600 in for x to get 660+0.01*y=811 and by subtracting 660 from both sides we get 0.01*y=151. Multiplying both sides by 100 (since 0.01*100=1), we get y=15100

6 0

4 years ago

Given the coordinates below, what is the midpoint of AB? A(-6, -10) B(2,5)

madreJ [45]

Given :

$\:$