SOLUTION: If $8000 is invested at an annual rate of 9.5% compounded continuously, find the accumulated amount after years.
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Question 563684: If $8000 is invested at an annual rate of 9.5% compounded continuously, find the accumulated amount after years.
Answer by solver91311(24713) (Show Source): You can put this solution on YOUR website!
In the case of continuous compounding, because ^{nt}\ =\ e^{rt})
, the formula for accumulated amount (aka Future Value) of a single deposit investment is:
Where 
is the accumulated amount, 
is the starting principal, 
is the base of the natural logs, 
is the annual interest rate expressed as a decimal, and 
is the term of the investment in years.
For your problem:
Just plug in your number of years and let your fingers do the walking on your calculator.
John
My calculator said it, I believe it, that settles it
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