Respuesta :
Answer:
\text{Compounded Continuously:}
Compounded Continuously:
A=Pe^{rt}
A=Pe
rt
P=7500\hspace{35px}r=0.015\hspace{35px}t=8
P=7500r=0.015t=8
Given values
A=7500e^{0.015(8)}
A=7500e
0.015(8)
Plug in
A=7500e^{0.12}
A=7500e
0.12
Multiply
A=8456.22638685
A=8456.22638685
Use calculator (with e button)
A\approx 8500
A≈8500
Round to nearest hundred dollars
Step-by-step explanation:
The amount of money to the nearest hundred dollars that would be in the account after 8 years is $60,900.
What is the future value of the account?
The formula for calculating future value when there is continuous compounding is : A x e^r x N
Where:
- A= amount
- e = 2.7182818
- N = number of years
- r = interest rate
7500 x e^0.015 x 8 = $60,900
To learn more about continuous compounding, please check: https://brainly.com/question/26476328
#SPJ2
