Question

20 points

1. Use the formula A=Peart to compute the total amount for an
investment of $4500 at 5% interest compounded continuously for 6
years.

Answer 1

A = 6074.36

Explanation:

Equation =
`A=Pe^(rt)`

A is the final amount

P is the principal or the deposited amount ($4500)

R is the interest rate as a decimal (.05)

T is time or 6 years. (On other problems, check to see whether it's months or years.

E is Euler's Number or 2.71828..... it keeps going on forever (irrational number)

A= 6074.364634