Question

Suppose that $2300 is initially invested in an account at a fixed interest rate, compounded continuously. Suppose also that, after two years, the amount of money in the account is $2517 . Find the interest rate per year

Answer 1

your job is to solve
\[2517=2300e^{2r}\] for r

Answer 2

im not sure how to get the r..i have that exact formula written down

Answer 3

from there im lost

Answer 4

divide by 2300, take the log, divide by 2
\[\frac{2571}{2300}=e^{2r}\]
\[\ln(\frac{2571}{2300})=2r\]

Answer 5

\[r=\ln(\frac{2571}{2300})\div2\]

Answer 6

or
\[\frac{1}{2}\ln(\frac{2571}{2300})\]

Answer 7

0.5 about right?
it came to like .045 but it wants it rounded to the nearest hundreth

Answer 8

and thank you so much btw!! you are a lifesaver

Answer 9

yw

Answer 10

but don't round .045 to .5! leave at . 045 = 4.5%

Answer 11

well thats thousandth place..so it would be .05

Answer 12

Write your answer as a percentage. Do not round any intermediate computations, and round your percentage to the nearest hundredth.

Answer 13

actually i get .05569

Answer 14

http://www.wolframalpha.com/input/?i=.5ln%282571%2F2300%29

Answer 15

oh wait i copied wrong

Answer 16

lol so its .05 right?

Answer 17

http://www.wolframalpha.com/input/?i=.5ln%282517%2F2300%29

Answer 18

then yes =)
thank you so much!!!!!!! =) i appreciate it!

Answer 19

oh it says round percentage to nearest 100 so be careful again!

Answer 20

yea it would be .05 =)

Answer 21

ooh no

Answer 22

??? what

Answer 23

. 0450=4.5%

Answer 24

it doesnt say round decimal. it says round percent

Answer 25

ok..so 4.5 it is lol

Answer 26

right? like at the bank 4.5% is a lot different than 5%

Answer 27

yes lol...ok thank you =)
ill b asking more questions in the coming of days

Answer 28

k see you then