Question

Shanice invests $4,668 in a savings account with a fixed annual interest rate of 2% compounded continuously. What will the account balance be after 9 years?

Answer 1

Answer:

• $5588.61

Step-by-step explanation:

Given:

• Investment P = $4668
• Interest rate r = 2% or 0.02
• Compound number = continuous
• Time t = 9 years

Calculate the balance:

• $A = Pe^{rt}$
• $A = 4668*e^{0.02*9}=4668*e^{0.18}=5588.61$