On the day of a child's birth, a deposit of \$30,000 is made in a trust fund that pays 3% interest, compounded continuously. Determine the balance in this account on the child's 30th birthday. (Round your answer to two decimal places.)

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3. 👁 1,663
1. e^rt = e^(.03*30) = e^.9 = 2.4596

times 30,000 = \$ 73,788.09

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posted by Damon
2. Thank you :)

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posted by Angie
3. You are welcome :)

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posted by Damon
4. At the birth of a baby, a couple decides to make an initial investment of C at the rate of 7% compounded annually so that the amount will grow to \$30,000 by her 10th birthday. What should their initial investment be? Round to the nearest dollars.

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posted by lucas
5. On the day of a child's birth, a parent deposits \$25,000 in a trust fund that pays 5% interest, compounded continuously. Determine the balance in this account on the child's 24th birthday. (Round your answer to two decimal places.)

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posted by Jessica

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