Jared puts 5,000.00 into an account to use for school expenses. The account earns 2% interest, compounded continuously. How much will be in the account after 7 years?

Solution

Jared puts 5, 000.00 into an account to use for school expenses. The account earns 2% interest, compounded continuously. How much will be in the account after 7 years?

Solution

Amount : 5751.37

Solution steps

Translate the problem into an equation:

A = 5000 e^{0.02 \cdot 7}

5000 e^{0.02 \cdot 7} = 5751.36899 \dots

Round to the nearest hundredth:

5751.37

Amount : 5751.37

Popular Examples

The circumference of a circle is 2pipi cm. Find its radius, in centimeters.Nine years ago, Kevin was seven times as old as Jerry. Nine years from now, Kevin will be two and a half times as old as Jerry. How old is Kevin?A sofa is discounted to 375. If this is a 35% discount, find the recommended retail price.If you deposit 4000 into an account paying 6% annual interest compounded quarterly, how much money will be in the account after 5 years?the sum of two numbers is 26. the product of the two numbers is 153. what are the two numbers