How much money will there be in an account at the end of 6 y

How much money will there be in an account at the end of 6 years if $6000 is deposited at a 3.5% annual rate that is compounded continuously? (Assume no withdrawals are made.) The amount after 6 years will be $

Solution

The amount is calculated by the formula

A= Pe^rt

Here, P is sum, r = rate and n = time

We have P = $ 6000, t = 6 years, r = 0.035

So, A= 6000 e^{0.035 x 6}

A= 6000 e ^0.21

⁼ 7402.07

Therefore, the amount after 6 years is $ 7402. 07