Question

If $ 2000 is deposited into an account paying interest at a nominal rate of 7 % per
year, find the balance 3 years later if the interest is compounded continuously?

Answer 1

Recall that the formula for continuous compound interest is
\[A=Pe ^{rt}\]
P=Your principal amount
r= your interest rate
t=number of years
A=The amount you'll have after t years.