Question

Leah invested $950 in an account paying an interest rate of 1.5% compounded continuously. Assuming no deposits or withdrawals are made, how much money, to the nearest dollar, would be in the account after 6 years?

Answer 1

`\bf ~~~~~~ \textit{Continuously Compounding Interest Earned Amount} \\\\ A=Pe^(rt)\qquad \begin{cases} A=\textit{accumulated amount}\\ P=\textit{original amount deposited}\dotfill & \$950\\ r=rate\to 1.5\%\to (1.5)/(100)\dotfill &0.015\\ t=years\dotfill &6 \end{cases} \\\\\\ A=950e^(0.015\cdot 6)\implies A=950e^(0.09)\implies A\approx 1039.5\implies \stackrel{\textit{rounded up}}{A=1040}`