00:02
Okay, in this problem, we have a continuous interest, and that means that we're going to have whatever our amount is.
00:10
Well, the amount that we have is equal to the principal, which is how much that we're investing.
00:16
And then we're going to multiply that times e, which is orler's number.
00:19
That is an irrational number that represents continuous growth, exponential growth.
00:25
And then we're going to raise that to the rate times the time, all right, where the time is the number of years and the rate is the interest rate.
00:32
So our principle in this problem is how much 675, 625, 625, and then we're going to take that and multiply it times e.
00:41
And then our rate here is 7%.
00:44
So we're going to say that's 0 .07 for 7%.
00:49
And then we're going to multiply that by how many years? 12 years.
00:52
So we're going to take that.
00:53
Let me make sure that looks more like a 7.
00:56
I guess that's good enough.
00:58
7.
00:59
Here we go.
01:00
And then we're going to raise that or multiply that times 12.
01:02
Okay...