Question

A person places $531 in an investment account earning an annual rate of 6.1%,

compounded continuously. Using the formula V = = Pent, where V is the value of the

account in tyears, P is the principal initially invested, e is the base of a natural

logarithm, and r is the rate of interest, determine the amount of money, to the

nearest cent, in the account after 16 years.

Answer 1

1409.18

Explanation:

Answer 2

$1408.74

Explanation:

Given data

P= $531

T= 16 year

R= 6.1%

We are given the expression

`V= Pe^r^t`

Required

the final amount V

substituting our data into the expression

`V=531*e^(0.061*16)\\\\V=531*e^(0.976)\\\\V=531*2.653\\\\V=1408.743`

Hence the amount of money is $1408.74