Post a New Question

algebra

posted by on .

suppose you invest 17000 at an annual interest rate of 3.9% compounded continuously? how much will u have in the account after 2.5 years?

  • algebra - ,

    Whqt do you mean by compounding "continuously?
    Daily? Every hour?

    If there is daily compounding, the investment increases by a factor
    [1 + (0.039/365])^365 = 1.039768 per year. After 2 1/2 years that factor becomes
    1.039768)^2.5 = 1.102406
    Multiply that by the initial 17,000 and you have $18,740.90

Answer This Question

First Name:
School Subject:
Answer:

Related Questions

More Related Questions

Post a New Question