Precalculus: Mathematics for Calculus, 7th Edition

Published by Brooks Cole
ISBN 10: 1305071751
ISBN 13: 978-1-30507-175-9

Chapter 4 - Review - Exercises - Page 390: 91

Answer

(a) $16081.15$ dollars (b) $16178.18$ dollars (c) $16197.64$ dollars (d) $16198.31$ dollars

Work Step by Step

(a) Given $P=12000, r=0.1 t=3,n=2$, use the corresponding formula, we have $A(3)=12000(1+\frac{0.1}{2})^{2\times3}\approx16081.15$ dollars (b) In this case, $n=12$, we have $A(3)=12000(1+\frac{0.1}{12})^{12\times3}\approx16178.18$ dollars (c) Use $n=365$, we have $A(3)=12000(1+\frac{0.1}{365})^{365\times3}\approx16197.64$ dollars (d) Use the formula for continuously compounding, we have $A(3)=12000e^{0.1\times3}\approx16198.31$ dollars
Update this answer!

You can help us out by revising, improving and updating this answer.

Update this answer

After you claim an answer you’ll have 24 hours to send in a draft. An editor will review the submission and either publish your submission or provide feedback.