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Popular Word Problems >

Latoya wants to buy a bond that will mature to\$4500 in six years. How much should she pay for the bond now if it earns interest at a rate of 3.5% per year, compounded continuously?

Solução

L a t oy a w an t s t o b u y a b o n d t ha t w i ll ma t u re t o $4500 in s i x ye a rs . Ho w m u c h s h o u l d s h e p a y f or t h e b o n d n o w i f i t e a r n s in t eres t a t a r a t e o f 3.5% p er ye a r, co m p o u n d e d co n t in u o u s l y ?

Solução

Principal : 3647.63

Passos da solução

Translate the problem into an equation:

4500 = P e^{0.035 \cdot 6}

Resolver para

P, 4500 = P e^{0.035 \cdot 6} : P = 3647.63

Principal : 3647.63

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