Question
Use the formula for continuous compounding to compute the balance in the account after 1, 5, and 20 years. Also, find the APY for the
Use the formula for continuous compounding to compute the balance in the account after 1, 5, and 20 years. Also, find the APY for the account.
A $14,000 deposit in an account with an APR of 4.5%
.
The balance in the account after 1 yr is :
The balance in the account after 5 years is approximately :
The balance in the account after 20 years is approximately :
The APY for the account is approximately:
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Fundamentals of Financial Management
Authors: Eugene F. Brigham, Joel F. Houston
11th edition
324422870, 324422873, 978-0324302691
