# Finance

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YOU DEPOSIT \$5,000 INTO THE FIRST NATIONAL BANK OF FIN 301 AND EARN 2.5% COMPOUNDED CONTINUOUSLY. HOW MUCH WILL YOU HAVE IN 5 YEARS?

• Finance -

P = Po*e^rt.

Po = \$5,000.
rt = (2.5%/yr * 5yrs.) / 100% = 0.125 = 5-yr % rate expressed as a decimal

Plug the above values into the given Eq.

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