Calculus

assuming that you wish to have $19000 in 7 years and that the account earns 6% compounded continuously. Round your answer to the nearest cent.

Answer:

asked by Brooke
  1. Continuous compounding has the formula
    future amount = present amount * ert
    where t=number of periods, and r=rate

    So
    19000 = A*e(0.06*7)
    Solve for A.

    posted by MathMate

Respond to this Question

First Name

Your Response

Similar Questions

  1. Calculus

    Redo problem 8 in section 6.3 of your textbook (page 288) assuming that the parents need $105000 in 9 years for college expenses, and that the bank account earns 9.25% compounded continuously. Round your answers to the nearest
  2. ALGEBRA

    If $695 is invested in an account that earns 21.75%, compounded annually, what will the account balance be after 15 years? (Round your answer to the nearest cent.)
  3. math

    If $690 is invested in an account that earns 20.75%, compounded annually, what will the account balance be after 25 years? (Round your answer to the nearest cent.)
  4. math

    If $690 is invested in an account that earns 20.75%, compounded annually, what will the account balance be after 25 years? (Round your answer to the nearest cent.)
  5. ALGEBRA

    If $540 is invested in an account that earns 19.75%, compounded annually, what will the account balance be after 12 years? (Round your answer to the nearest cent.) =
  6. math

    If $425 is invested in an account that earns annual interest of 7.5%, compounded semiannually, what will the account balance be after 11 years? (Round your answer to the nearest cent.) $ 1
  7. ALGEBRA

    If $835 is invested in an account that earns annual interest of 4.5%, compounded semiannually, what will the account balance be after 13 years? (Round your answer to the nearest cent.)
  8. ALGEBRA

    If $835 is invested in an account that earns annual interest of 4.5%, compounded semiannually, what will the account balance be after 13 years? (Round your answer to the nearest cent.)
  9. ALGEBRA

    If $835 is invested in an account that earns annual interest of 4.5%, compounded semiannually, what will the account balance be after 13 years? (Round your answer to the nearest cent.)
  10. ALGEBRA

    If $450 is invested in an account that earns annual interest of 3.5%, compounded semiannually, what will the account balance be after 15 years? (Round your answer to the nearest cent.)

More Similar Questions