math algebra

A tax free municipal bond pays 4.75% compounded continuously. What is the value of a $2,000 bond after 30 years? Round your answer to the nearest cent.

[Hint- A=P e^rt where P= present(initial) value, A= future value, r= annual rate, and t= number of years]

P.S.The rt is an exponent to e

asked by caroline
  1. A = P*e^rt.

    P = $2,000

    rt = 0.0475/yr. * 30yrs. = 1.425.

    A = ?.

    posted by Henry

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