a man places $700 in an account that accrues interest continuously. Assuming no additional deposit and no withdrawals, how much will be in the account after 10 years if the interest is a constant 7.5% for the first six years and a constant 8.25% for the last 4 years?
my question is actually this: using p=p0e^it, what would be my p0 at i=8.25%? is it still 700? or p at i=7.5?
it's in two steps
700 is the start of the 1st step, 7.5% for 6 years
... the result becomes the start of the 2nd step, 8.25% for 4 years