00:01
Hello everyone so this is the question that we have starting at the age of 30 we deposit $2 ,000 a year paying to an ira so this money earns rate of interest is equal to 4 % compounded continuously how much money will be in the account money in account 35 years later that is age would be 65 that is so part a final amount of interest and part b value questions so let's jump on to the solution of the question.
01:18
So i give the total income in this question by the formula of integration from lower limit to upper limit, a to b, f of t, d, t, t, t.
01:29
And the value for compound interest, compound interest is equal to p, e, r, t.
01:39
P is my principal amount.
01:44
R is my rate of.
01:47
So by using these two formulas i'm going to use this so my f of t would be equal to p e to the bar r t putting in the values as my p is equal to two thousand dollars rate of interest is 4 percent or if we converted into the decimal so 0 .0 4 a we are starting at zero initially mp is 35 years after.
02:19
So if we do this integration, this is going to be integration of 0 to 35, 2000, e to the par 0 .04 t, t, t...