For the following amount at the given interest rate compounded continuously, find (a) the future value after 5 years, (b) the effective rate, and (c) the time to reach $15,000 $5600 at 3.9% a. The future value after 5 years is approximately $ (Do not round until the final answer. Then round to the nearest cent as needed.) b. The effective rate is (Do not round until the final answer. Then round to two decimal places as needed.) c. The time to reach $15,000 from $5600 at 3.9% compounded continuously is years. (Do not round until the final answer. Then round to two decimal places as needed.)
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9% interest rate compounded continuously. To find the future value, we can use the formula: FV = PV * e^(rt) Where: FV = Future Value PV = Present Value (initial amount) e = Euler's number (approximately 2.71828) r = Interest rate t = Time in years Given: PV = Show more…
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