document.write( "<A HREF=/cgi-bin/jump-to-question.mpl?question=888950>Question 888950</A>: <I><SPAN STYLE=\"word-break: break-all;\"> If interest is compounded continuously at 4.5% for 7 years, how much will a $2000 investment be worth at the end of 7 years? </SPAN>\n" );
document.write( "</I><HR><TABLE width=100%><TR><TD><B><A HREF=http://www.algebra.com/>Algebra.Com's</A> Answer #537806 by </B><A HREF=/tutors/aboutme.mpl?userid=Theo><B>Theo(13342)</B></A><img src=\"/images/stars/stars-13.gif\" alt=\"\" >&nbsp;<A HREF=/tutors/aboutme.mpl?userid=Theo><IMG SRC=http://www.algebra.com/images/aboutme-small.gif BORDER=0 alt=\"About Me\" VALIGN=MIDDLE></A>&nbsp;<IMG SRC=http://www.algebra.com/cgi-bin/show-face.mpl?user=Theo><BR>You can <A HREF=\"/cgi-bin/embed-solution.mpl?show=1&solution=537806\">put this solution on YOUR website!</A><BR><SPAN STYLE=\"word-break: break-all;\"> the continuous compounding formula is f = p * e^(i*t)<BR>\n" );
document.write( "p is the present value<BR>\n" );
document.write( "f is the future value<BR>\n" );
document.write( "i is the interest rate per time period.<BR>\n" );
document.write( "t is the number of time periods.\r<BR>\n" );
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document.write( "in your problem:<BR>\n" );
document.write( "p = 2000<BR>\n" );
document.write( "t = 7 years<BR>\n" );
document.write( "i = .045 per year (percent / 100 = rate)<BR>\n" );
document.write( "e = scientific constant of 2.718281828...\r<BR>\n" );
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document.write( "formula becomes:\r<BR>\n" );
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document.write( "f = 2000 * e^(.045*7) which becomes:\r<BR>\n" );
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document.write( "f = 22740.518622 </SPAN>\n" );
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