Question

You deposit $725 in an account that pays

4.5% annual interest compounded continuously. What is the balance after
3 years

Answer 1

The balance after 3 years is $827.34

Step-by-step explanation:

We are given that You deposit $725 in an account that pays 4.5% annual interest compounded continuously.

Principal = $725

Rate of interest = 4.5%

Time = 3 years

We are supposed to find the balance after 3 years.

Formula :
`A=P(1+r)^t`

A= Amount

P = Principal

r = rate of interest in decimals

t = time

`A=725(1+(4.5)/(100))^3`

`A=827.34`

Hence the balance after 3 years is $827.34