Question

Find the amount in a continuously compounded account for the given conditions. principal: $250

annual interest rate: 6.2%
time: 2.5 years

Answer 1

$291.91

Explanation:

Put the given numbers into the formula and do the arithmetic.

... A = Pe^(rt)

... A = $250·e^(0.062·2.5) ≈ $291.91