Hannah invested 820 in an account paying an interest rate of 1.8% compounded continuously. Assuming no deposits or withdrawals are made, how much money, to the nearest hundred dollars, would be in the account after 16 years?

Solution

Solution

Amount : 1093.68

Solution steps

Translate the problem into an equation:

A = 820 e^{0.018 \cdot 16}

820 e^{0.018 \cdot 16} = 1093.68098 \dots

Round to the nearest hundredth:

1093.68

Amount : 1093.68

Popular Examples

Aaron invested 570 in an account paying an interest rate of 7% compounded continuously. Assuming no deposits or withdrawals are made, how much money, to the nearest dollar, would be in the account after 8 years?The radius of a circle is 13 in. Find its area in terms of pipi.John opened a savings account that earns 2.25% interest compounded yearly. If he deposited 80 in the account when he opened it and did not make any other deposits, how much money was in the account after 5 years, rounded to the nearest cent?Khloe invested 11,000 in an account paying an interest rate of 4.8% compounded continuously. Assuming no deposits or withdrawals are made, how much money, to the nearest ten dollars, would be in the account after 17 years?Zoe invested 16,000 in an account paying an interest rate of 3.6% compounded quarterly. Assuming no deposits or withdrawals are made, how much money, to the nearest hundred dollars, would be in the account after 20 years?