Question

You invest $4,100 in an account that pays an interest rate of 8.5%, compounded continuously. Calculate the balance of your account after 17 years. Round your answer to the nearest hundredth.

Answer 1

$16409.28

Explanation:

Principal amount = $4100

Interest rate = 8.5% annually (compounded)

Number of years = 17

Amount at the ned of 17 years

= 4100(1 + 8.5/100)¹⁷

= 4100 (1.085)¹⁷

= $16409.28