Using the continuously compounding formula, what would the be the balance if you invest $5500 at a rate of 8% compounded continuously for 6 years?

Question

Danna Trevino

Mathematics

16 December, 00:47

Using the continuously compounding formula, what would the be the balance if you invest $5500 at a rate of 8% compounded continuously for 6 years?

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Answers (2)

Know the Answer?

Lam · Answer 1

A = Pe^ (rt) becomes A = $5500e^ (0.08*6) = $8888.41.

Kameron Ellis · Answer 2

The formula is A = Pe^ (rt) where A = amount in the account after a specified period of timeP = principlee = a constant value (similar to using pi in a formula) r = rate (change to a decimal) t = time (in years unless otherwise specified)

A = 5500e^ (.08*6) A = $8888.41Always round money to two decimal places unless told otherwise.