Paige borrows $4000 at a rate of 12% interest per year. What is the amount due at the end of 3 years if the interest is compounded continuously?

Question

betterthanvalentyn · Answer

Do you have a formula to do this?

anna_spencer · Answer

No, Sorry that's why i can't figure it out.

anna_spencer · Answer

OK, Thank You!

betterthanvalentyn · Answer

tell me the answer when you finished working it out :)

anna_spencer · Answer

Well I got '5,440', but I don't know if that's it.

betterthanvalentyn · Answer

okay, i got something different. Type what you put into your calculator on here please

betterthanvalentyn · Answer

oh and i got 5619.712 btw

anna_spencer · Answer

Paige borrows $4000 at a rate of 12% interest per year. What is the amount due at the end of 3 years if the interest is compounded continuously?

$4,480
$5733.31
$5,733.32
$5,440   Well i'm on Odysseyware and this is the question and the only answers

betterthanvalentyn · Answer

right, i have no idea then xD sorry i cant help you :(

betterthanvalentyn · Answer

@breanna1999 can you help Anna please

breanna1999 · Answer

The formula for compounded continuously is A=Pe^rt where p= initial amount r= rate t= time

breanna1999 · Answer

A=4000e^0.12(3)
A=4000e^0.36

breanna1999 · Answer

A=4000(1.43333)
A=5,733.32