Susan placed $9900 in a savings account which compounds interest continuously at a rate of 1.9 %. How much will she have in the account after 6 years?

Question

asked Oct 24, 2021 50.8k views

2 Answers

Zebraman · Answer 1 · 2021-10-26T02:13:14+0000

Answer:

$11095.45

Explanation:

This is a problem in continuous compounding, for which the formula is

P = Ae^rt, r being the annual interest rate as a decimal fraction and t being the time in years. Here we have:

P = $9900e^(0.019)(6) = $11095.45