Suppose you need \$100,000 in 10 years. You want to make an investment by depositing money continuously at a constant rate throughout the 10-year period. At what rate should the money be deposited if the investment offers 7\% interest?
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P = the principal amount (initial deposit) r = the annual interest rate (in decimal) t = the time the money is invested for e = Euler's number, approximately equal to 2.71828 Show more…
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