Question

Find the amount of money that will be accumulated in a savings account if $7050 is invested at 5.0% for 25 years and the interest is compounded continuously. Round your answer to two decimal places.

Answer 1

Answer:

$24606.92

Step-by-step explanation:

P(t) = P(0) e^rt              P(0) money at the beginning r =%/100  P(t) = future value

     = 7050 e^(0.05 · 25)             e = inv natural log (1)

     =  7050 · 2.71828^1.25

     = $24606.92