Question

535 invenstment compounded continuosly for 10 years at 6 percent

Answer 1

`\$974.83`

Explanation:

we know that

The formula to calculate continuously compounded interest is equal to

`A=P(e)^(rt)`

where

A is the Final Investment Value

P is the Principal amount of money to be invested

r is the rate of interest in decimal

t is Number of Time Periods

e is the mathematical constant number

we have

`t=10\ years\\ P=\$535\\ r=0.06`

substitute in the formula above

`A=\$535(e)^(0.06*10)=\$974.83`