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Ariana invested $7,500 in an account paying an interest rate of 2.9% compounded continuously. Assuming no deposits or withdrawals are made, how much money, to the nearest ten dollars, would be in the account after 14 years?

 May 3, 2023
 #1
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I will assume that 'compounded continuously' means compounded annually. If this is not so, please tell me. Then

7500*1.029^14=11191.196 which rounds to $11190.

 May 3, 2023
 #2
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FV ==7,500  x  e^(0.029*14)

 

FV ==7,500  x  e^0.406

 

FV ==7,500  x  1.50080255

 

FV ==$11,256.00 - FV of the account after 14 years.

 May 3, 2023

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