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1 year ago

5

How much should you invest in an account that pays 6% annual interest compounded continuously if you want exactly $8000 after fo

ur years?

1 answer:

Iteru [2.4K]1 year ago

3 0

Answer:

$6239

Step-by-step explanation:

A(t) = P•e^rt

Substitute with 6% 0.06, t with 4 and A(t) with 8,000 to find the value of P.

8, 000 = P•e^0.06•4

8, 000 = P•e^0.24

8, 000 = P•1.27

P = 6, 293

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