If you put $34,100 in a savings account that pays 3.8% a year compounded continuously, how much will you have in the account in 11 years?
A) $22,450.15
B) $51,794.07
C) $51,795.19
D) $389,628.09

Question

Quizplus · Accepted Answer

The formula for continuous compounding is A = Pe^(rt), where P is the principal amount ($34,100), r is the annual interest rate (0.038), and t is the time in years (11). Plugging in these values gives A = 34100 * e^(0.038*11) ≈ $51,795.19.

If You Put $34,100 in a Savings Account That Pays