SOLUTION: Hannah places $7500 into an account earning 7% interest compounded continuously, how much will she have after 10 years?
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Question 1198968: Hannah places $7500 into an account earning 7% interest compounded continuously, how much will she have after 10 years?
Answer by htmentor(1343) (Show Source): You can put this solution on YOUR website!
The formula for continuous compound interest is:
P(t) = P0*exp(rt), where P0 is the initial principal, r is the interest rate,
and t is the time.
In this case, P0 = 7500, r = 0.07
P(10) = 7500*exp(0.07*10) = $15103
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