Homework SourseMoney is transferred into an account at the rate of Rt 1500
Money is transferred into an account at the rate of R(t) = 1500 te?0.3 t dollars per year for 9 years. If the account pays 9% interest compounded continuously, how much will accumulate in the account over a 9-year period?
Solution
We have given that the money is transferred into an account at the rate of R(t) = 1500 te^(0.3 t) dollars per year for 9 years. where r = 0.3 Now, after 9 years i.e. R(t) = 1500 te^(0.3 t) dollars R(9) = 1500* 9e^(0.3*9) dollars R(9) = 200876.4 dollars Now, for 9% rate for 9 years i.e. only rate is changing not time r = 9/100 = 0.09 R(t) = 1500 te^(0.09 t) R(9) = 1500* 9e^(0.09*9) = 30346.8 dollars for the 9% interest compounded continuously, accumulation in the account over a 9-year period will be 200876.4 dollars - 30346.8 dollars = 170529.6 dollars Hope this will help you!
