The general form of the exponential function is fx abx where a is any nonzero number b is a positive real number not equal to 1. Since continuous compounding the value of the deposited money after three years money is calculated using the above formula as Final value Initial value e Annual growth rate No. The general rule of thumb is that the exponential growth formula.
Determine to the nearest dollar the amount of money he will have after 2 years.
Or y a 1 r t t Although my biggest problem is that Im not sure whether to have the 1 r or 1 r. Total interest over 10 years 8 500 10 400. Finding Compound interest010 Formula for Compounding Continuosly016 Approximate Value for Natural. To calculate continuously compounded interest use the formula below.