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Topic- Application of e continuous compounding of interest If $5000 is deposited into an account with 5.298% nominal annual interest compounded continuously: Find a) Find

Topic- Application of "e" continuous compounding of interest

If $5000 is deposited into an account with 5.298% nominal annual interest compounded continuously: Find

a) Find the total accumulation in the account after 12 years. Show the formula used.

b) Find the total amount of interest accumulated after 12 years.

c) Since 5.298% is the nominal rate of interest, what is the effective rate of interest? Show the formula used.

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