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Popolare Word Problems >

Bill opened a savings account and deposited 800.00 as principal. The account earns 4% interest, compounded continuously. What is the balance after 4 years?

Soluzione

B i ll o p e n e d a s a v in g s a cco u n t an d d e p os i t e d 800.00 a s p r in c i p a l . T h e a cco u n t e a r n s 4% in t eres t, co m p o u n d e d co n t in u o u s l y . Wha t i s t h e ba l an ce a f t er 4 ye a rs ?

Soluzione

Amount : 938.81

Fasi della soluzione

Translate the problem into an equation:

A = 800 e^{0.04 \cdot 4}

800 e^{0.04 \cdot 4} = 938.80869 \dots

Arrotondare all' hundredth più vicino:

938.81

Amount : 938.81

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