Question

Find the total amount in the compound interest account.

​$1740 is compounded daily at a rate of 12​% for 5 years. Let 1 yearequals=365 days.

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Answer 1

`\bf \qquad \textit{Compounding Continuously Earned Amount}\\\\ A=Pe^(rt)\qquad \begin{cases} A=\textit{accumulated amount}\\ P=\textit{original amount deposited}\to& \$1740\\ r=rate\to 12\%\to (12)/(100)\to &0.12\\ t=years\to &5 \end{cases} \\\\\\ A=1740\cdot e^(0.12\cdot 5)`

bear in mind that the continuously compounding interest is just that, a daily compounding cycle, taking a year as 365days.