continuously compounded interest, A=Pe^rt, where p is the principal, r is the annual interest rate, and t is the time in years..

If sarita deposits $1000 in an account paying 3.4% annual interest compounded continuously, what is the balance in the account after 5 years?

Question

continuously compounded interest, A=Pe^rt, where p is the principal, r is the annual interest rate, and t is the time in years..

If sarita deposits $1000 in an account paying 3.4% annual interest compounded continuously, what is the balance in the account after 5 years?

anonymous · Answer

Plug and chug. P is $1000, r is the rate so .034, and t is 5. A is what you are looking for.

anonymous · Answer

So just plug that in..
equals to be $5172.92, thank you.

anonymous · Answer

Yes just plug it in, but that number is wrong.

anonymous · Answer

$$A=1000e^.17$$ where the .17 is from .034 x 5

anonymous · Answer

1185.30?

anonymous · Answer

Yes :)

anonymous · Answer

thank you dear (:

anonymous · Answer

No problem.