posted by james on .
Jennifer invested $2,500 in an account earning 3.5% interest compounded continuosly. How much money will she have in the account after 15 years?
continuous growth is given by the equation
amount = initial e^ (rt) , where r is the annual rate expressed as a decimal
amount = 2500 e^(15(.035))
( compare that with the amount had it been 3.5% per annum compounded annually
amount = 2500(1.035)^15 = 4188.37 )