Which of the following equations is used to compute the future value using continuous compounding? A) FV_∞ = PV × e ⁱ^×ⁿ B) FV_∞ = PV ÷ e ^{i × n} C) FV_∞ = eⁱ ÷ PV D) FV_∞= eⁱ × PV

Question

Quizplus · Accepted Answer

The formula for future value with continuous compounding is FV = PV × e^(i × n), where PV is the present value, i is the interest rate, and n is the time period.

Which of the Following Equations Is Used to Compute the Future