Question

parents need $95000 in 10 years for college expenses, and that the bank account earns 11.75% compounded continuously. Round your answers to the nearest cent. (You may need to compute your answers to 4 or more decimal places before you round to the nearest cent.) ) At what constant, continuous rate must the parents deposit money into the account in order to save the money? b) If the parents instead deposit a lump sum now, how much must the deposit be to attain the goal?

Answer 1

A=P(1+R%)^10
95000=P(1+11.75%)^10
95000=P(111.75/100)^10
95000=P(3.0372)
95000/3.0372=P
31,278.67066=P
FOR 10 YEARS
MAYBE P/10

Answer 2

would you like to help with two more?

Answer 3

was this right
???

Answer 4

nope haha

Answer 5

Contiuous is Pe^rt

Answer 6

D- Deposit
r- rate

Let assume that we are depositing once a year for now
1st Year = (D*E^(RT))
2nd Year = (D+( D*E^RT))*E^(RT)=DE^rt+DE^(rt)^2
3rd Year = DE^rt+DE^(rt)^2+DE^(rt)^3
10 Year = DE^rt+DE^(rt)^2+DE^(rt)^3+......+DE^(rt)^10