An investor has $4000 to invest in either a bond that matures in 4 years or a business that will produce a continuous stream of income over the next 4 years with rate of flow f(t) = 1000. If both the bond and the continuous stream earn 4%, compounded continuously, which is the better investment? ..... What is the future value of the bond? $ (Round to the nearest dollar as needed.)

An investor has $4000 to invest in either a bond that matures in 4 years or a business that will produce a continuous stream of income over the next 4 years with rate of flow f(t) = 1000. If both the bond and the continuous stream earn 4%, compounded continuously, which is the better investment? ..... What is the future value of the bond? $ (Round to the nearest dollar as needed.)

College Algebra

1st Edition

ISBN:9781938168383

Author:Jay Abramson

Publisher:Jay Abramson

Chapter6: Exponential And Logarithmic Functions

Section: Chapter Questions

Problem 8RE: Suppose an investment account is opened with aninitial deposit of 10,500 earning 6.25...

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