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A person places $85800 in an investment account earning an annual rate of 8.5%,
compounded continuously. Using the formula V = Pe”t, where Vis the value of the
account in t years, P is the principal initially invested, e is the base of a natural
logarithm, and r is the rate of interest, determine the amount of money, to the
nearest cent, in the account after 9 years.

Sagot :

Fichohidn

Answer:

$184383.7

Step-by-step explanation:

Using the formula :

V = Pe^rt

Principal, P = 85,800

Rate of interest, r = 8.5% = 0.085

Time = 9

V = 85800 * e^(0.085*9)

V = 85800 * e^0.765

V = 85800 * 2.1489943

V = 184383.71

V = $184,383.7

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