Question 2 We consider compound interest with a nominal annual rate r compounded n times per year. The value V(t) of an initial investment Vo after t years is given by V = V (1+)". r nt (a) For fixed Vo, r, and t, the limit lim V is indeterminate. What type of indeterminate form is it? (b) Continuously compounded interest is obtained by compounding more and more frequently. Find lim V.

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