00:03
This question is asking us to invest $10 ,000 at 6 % interest that is compounded continuously.
00:19
And it wants us to compare what happens after investing that initial amount for different amounts of years.
00:28
So the first amount of years that we are going to calculate is five -year period.
00:35
So we're going to use the compounding continuously formula, which is p .e to the rt power.
00:44
So $10 ,000 is our principal amount.
00:47
That's the amount we start with.
00:49
R is our 6 % interest.
00:52
And for this first question, we are going to calculate for five years.
00:57
So five years is going to be our t.
00:59
So we have 10 ,000 times e to the 0 .06 power...