Suppose a family is depositing money into a bank account continuously, and the account earns interest of 4% annually (compounded continuously). The family began their first year with $23, 000 in the account. Assuming they don't make any withdrawals, how much money is in the account after 4 years?
Suppose a family is depositing money into a bank account continuously, and the account earns interest of 4% annually (compounded continuously). The family began their first year with $23, 000 in the account. Assuming they don't make any withdrawals, how much money is in the account after 4 years?
Engineering Fundamentals: An Introduction to Engineering (MindTap Course List)
5th Edition
ISBN:9781305084766
Author:Saeed Moaveni
Publisher:Saeed Moaveni
Chapter20: Engineering Economics
Section: Chapter Questions
Problem 21P
Related questions
Question
Topic : Investment Problem
Suppose a family is depositing money into a bank account
continuously, and the account earns interest of 4%
annually (compounded continuously). The family began
their first year with $23, 000 in the account. Assuming they
don't make any withdrawals, how much money is in the
account after 4 years? Ans. =26,990.75
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 2 steps with 2 images
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, civil-engineering and related others by exploring similar questions and additional content below.Recommended textbooks for you
Engineering Fundamentals: An Introduction to Engi…
Civil Engineering
ISBN:
9781305084766
Author:
Saeed Moaveni
Publisher:
Cengage Learning
Engineering Fundamentals: An Introduction to Engi…
Civil Engineering
ISBN:
9781305084766
Author:
Saeed Moaveni
Publisher:
Cengage Learning