If you put $14,100 in a savings account that pays 2.8% a year compounded continuously, how much will you have in the account in 18 years?
A) $8,517.94
B) $23,339.69
C) $23,340.14
D) $261,006.82

Question

Quizplus · Accepted Answer

The formula for continuous compounding is A = Pe^(rt), where P is the principal amount ($14,100), r is the annual interest rate (0.028), and t is the time in years (18). Plugging in these values, A = 14100 * e^(0.028*18) ≈ $23,340.14.

If You Put $14,100 in a Savings Account That Pays