PLEASE HELP WITH THIS CALCULUS PROBLEM!

Suppose that you deposit $1.00 into an account that pays 100% annually.

a) How much will you have in the bank at the end of 1 year?

b) Suppose that the interest is compounded twice each year. How much will you have in the bank at the end of 1 year?

c) Calculate the amount in the bank at the end of 1 year with more compounding periods: 3, 4, 100.

d) What number does the amount in part c) seem to be approaching, as the number of compounding periods increases.

SHOW ALL WORK PLEASE!

Question

PLEASE HELP WITH THIS CALCULUS PROBLEM!



Suppose that you deposit $1.00 into an account that pays 100% annually.

a) How much will you have in the bank at the end of 1 year?

b) Suppose that the interest is compounded twice each year. How much will you have in the bank at the end of 1 year?

c) Calculate the amount in the bank at the end of 1 year with more compounding periods: 3, 4, 100.

d) What number does the amount in part c) seem to be approaching, as the number of compounding periods increases.

SHOW ALL WORK PLEASE!

anonymous · Answer

For a really great explanation, refer to this thread: http://openstudy.com/study#/updates/4fa7037ee4b029e9dc366b88