If 10000 is deposited into an account that pays 4 compounded

If $10000 is deposited into an account that pays 4% compounded continuously, approximately how much money will be in the account at the end of 12 years?

Solution

Formula for compuding continously:

Amount = Principal e^(rate*t)

Principla $10000 ; t = 12 yrs ; rate = 45 = 0.04

So, Amount = 10000e^(0.04*12) =10000e^0.36

= 10000*1.616 = $ 16160.74