Help Please... You open a savings account and deposit $2,000. After 1 year of earning continuously compounded interest, your balance is $2,026.17. After 2 years, the balance is $2,052.68. Assuming you make no deposits or withdrawals, find the equation for the best-fitting exponential function to represent the balance of the account after x years. How much money will be in the account after 10 years?

Question

Help Please... 	You open a savings account and deposit $2,000.  After 1 year of earning continuously compounded interest, your balance is $2,026.17.  After 2 years, the balance is $2,052.68.  Assuming you make no deposits or withdrawals, find the equation for the best-fitting exponential function to represent the balance of the account after x years.  How much money will be in the account after 10 years?

ankit042 · Answer

The problem starts by finding the interest rate
2000(1+r)=2026.17
r = 2026.17/2000-1
r = 13.09%
Money after x years

2000(1+0.01309)^x

anonymous · Answer

OK

ankit042 · Answer

Let me know if you need any explination

anonymous · Answer

One sec.

anonymous · Answer

So the answer would be 2277.66?

ankit042 · Answer

Yeah something close to 2277