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Popular Word Problems >

Marian invests 8,235.98 in a savings account with a fixed annual interest rate of 6.14 % compounded continuously. What will the account balance be after 15 years?

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Solution

Marianinvests8,235.98inasavingsaccountwithafixedannualinterestrateof6.14%compoundedcontinuously.Whatwilltheaccountbalancebeafter15years?

Solution

Amount:20687.14
Solution steps
Translate the problem into an equation:A=8235.98e0.0614⋅15
8235.98e0.0614⋅15=20687.14226…
Round to the nearest hundredth:20687.14
Amount:20687.14

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