Suppose an investment earns 2.4% interest compounded continuously. Find the future value of a 4800 investment after 17 years. Round your answer to the nearest cent, if necessary.

Solution

Solution

Amount : 7218.27

Solution steps

Translate the problem into an equation:

A = 4800 e^{0.024 \cdot 17}

4800 e^{0.024 \cdot 17} = 7218.27437 \dots

Round to the nearest hundredth:

7218.27

Amount : 7218.27

Popular Examples

Denise opened a savings account and deposited 4,000.00 as principal. The account earns 11% interest, compounded quarterly. What is the balance after 9 years?You deposit 6000 in an account earning 2% interest compounded continuously. How much will you have in the account in 10 years?the sum of 2 numbers is 32. one number is 3 times larger four times a number is 112 Twice the difference of a number and 7 is equal to 8.