SOLUTION: Suppose that $2600 is initially invested in an account with an APR of 3.3% compounded continuously. What is the percent change over 10 years for this account? Thanks

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Question 998349: Suppose that $2600 is initially invested in an account with an APR of 3.3% compounded continuously.
What is the percent change over 10 years for this account?
Thanks
Answer by stanbon(75887) About Me  (Show Source):
You can put this solution on YOUR website!
Suppose that $2600 is initially invested in an account with an APR of 3.3% compounded continuously.
Value after 10 years::
A(10) = 2600*e^(0.033*10) = 2600*1.39 = $3616.52
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What is the percent change over 10 years for this account?
Change:: 3616.52-2600 = 1016.52
Percent Change:: 1016.52/3616.52 = 0.2811 = 28.11%
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Cheers,
Stan H.
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