Question

Complete the table by determining the balance A for P dollars invested at rate r for t years and compounded n times per year.

P = $ 1000

r = 31/2%

t = 10 years

Answer 1

Step 1:

The principal amount $.

The rate of interest .

The period of time years.

Apply compound interest formula .

Compounded times per year.

The total amount is .

Compounded times per year, then the amount

Step 2:

Compounded times per year, then the amount

Compounded times per year, then the amount

Compounded times per year, then the amount

Compounded times per year, then the amount

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Step 3:

Formula for compounded continuously .

						continuous

Solution:

						continuous