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A person places $857 in an investment account earning an annual rate of

1.6%, compounded continuously. Using the formula V = Pert, where Vis
the value of the account in t years, 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 10 years.

User Aliassce
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1 Answer

3 votes

Answer:

V = 857e1.6(10)

V = $1,078.37

User Robert Smith
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