Exer. 56: If P dollars is deposited in a savings account

Chapter 5, Problem 5

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QUESTION:

Exer. 56: If P dollars is deposited in a savings account that pays interest at a rate of r% per year compounded continuously, find the balance after t years.

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QUESTION:

Exer. 56: If P dollars is deposited in a savings account that pays interest at a rate of r% per year compounded continuously, find the balance after t years.

ANSWER:

Step 1 of 2

The balance of principal amount P with annual rate of compound interest r after t years is expressed by

                   (i)

Here, r is in the decimal form.

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