Question: When the interest on an investment is compounded continuously, the investment grows at a rate that is proportional to the amount in the account, so
When the interest on an investment is compounded continuously, the investment grows at a rate that is proportional to the amount in the account, so that if the amount present is P, then dP/dt = kP where P is in dollars, t is in years, and k is a constant.
If $100,000 is invested (when t0) and the amount in the account after 15 years is $211,700, find the function that gives the value of the investment as a function of t. What is the interest rate on this investment?
Step by Step Solution
3.43 Rating (166 Votes )
There are 3 Steps involved in it
Then integrate ln ... View full answer
Get step-by-step solutions from verified subject matter experts
Document Format (1 attachment)
1386-M-C-L-A-D(4451).docx
120 KBs Word File
