Question

An investment of $2,500 compounded continuously at an annual interest rate of 2.5%.

The investment is kept in the account for 25 years.

Answer 1

4,670.61 Dollars

Explanation:

First, convert R as a percent to r as a decimal

r = R/100

r = 2.5/100

r = 0.025 rate per year,

Then solve the equation for A

A = Pert

A = 2,500.00(2.71828)(0.025)(25)

A = $4,670.61