Question 888950
the continuous compounding formula is f = p * e^(i*t)
p is the present value
f is the future value
i is the interest rate per time period.
t is the number of time periods.


in your problem:
p = 2000
t = 7 years
i = .045 per year (percent / 100 = rate)
e = scientific constant of 2.718281828...


formula becomes:


f = 2000 * e^(.045*7) which becomes:


f = 22740.518622