SOLUTION: Please help me answer this question: Kimberly invested $6000 in her savings account for 7 years. When she withdrew it, she had $7883.40. Interest was compounded continuously. What
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Question 694032: Please help me answer this question: Kimberly invested $6000 in her savings account for 7 years. When she withdrew it, she had $7883.40. Interest was compounded continuously. What was the interest rate on the account? Answer by stanbon(75887) (Show Source):
You can put this solution on YOUR website! Please help me answer this question: Kimberly invested $6000 in her savings account for 7 years. When she withdrew it, she had $7883.40. Interest was compounded continuously. What was the interest rate on the account?
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A(t) = Ao*e^(rt)
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7883.4 = 6000*e^(7r)
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e^(7r) = 1.3139
7r = ln(1.3139
rate = 0.039 = 3.9%
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Cheers,
Stan H.
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