Question
A savings account with a current balance of $5,000 earns 2.75% annual interest,
compounded continuously. To the nearest dollar, what will be the account balance in 10
years?
compounded continuously. To the nearest dollar, what will be the account balance in 10
years?
Answers
a=?,P=5,00,r=2.75,t=10
A=P(1+rt)
A=5,000(1+2.75*10)
A=5,000(1+27.5)
A=5,000(28.5)
A=142,500
A=P(1+rt)
A=5,000(1+2.75*10)
A=5,000(1+27.5)
A=5,000(28.5)
A=142,500
5000(1+0.0275*10)
=6375
=6375
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