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Popular Word Problems >

Sharon puts 400.00 into an account to use for school expenses. The account earns 8% interest, compounded continuously. How much will be in the account after 6 years?

Solução

S ha ro n p u t s 400.00 in t o an a cco u n t t o u se f or sc h oo l e x p e n ses . T h e a cco u n t e a r n s 8% in t eres t, co m p o u n d e d co n t in u o u s l y . Ho w m u c h w i ll b e in t h e a cco u n t a f t er 6 ye a rs ?

Solução

Amount : 646.43

Passos da solução

Translate the problem into an equation:

A = 400 e^{0.08 \cdot 6}

400 e^{0.08 \cdot 6} = 646.42976 \dots

Round to the nearest hundredth:

646.43

Amount : 646.43

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