College Algebra 7th Edition

Published by Brooks Cole
ISBN 10: 1305115546
ISBN 13: 978-1-30511-554-5

Chapter 4, Exponential and Logarithmic Functions - Section 4.2 - The Natural Exponential Function - 4.2 Exercises - Page 379: 34

Answer

$A(3) \approx 4221.8$ $A(6) \approx 5092.5$ $A(9)\approx 6142.7$

Work Step by Step

We are given $P=\$ 3500$ $r=0.0625$ We use the formula for continously compounded interest with a. $t=3$ $A(3)=3500e^{(0.0625)3} \approx 4221.8$ b. $t=6$ $A(6)=3500e^{(0.0625)6} \approx 5092.5$ c. $t=9$ $A(9)=3500e^{(0.0625)9} \approx 6142.7$
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