Asked by Brad

Find the accumulated value of a CD of $20000 for 3 years at an interest of 3.1% if the money is compounded continously.
Answered by Henry
P = Po*e^rt.

Po = $20,000.

rt = (3.1%/100%)/yr * 3yrs = 0.093.

P = 20,000*e^0.093 = $21,949.25.