Algebra-2

To calculate the ending balance for an investment compounded continuously, we use the formula:

 

where:

is the amount after years,

is the principal (initial investment),

is the annual interest rate (in decimal form),

is the time in years,

is the base of the natural logarithm.

 

Identify the values:

The principal is .

The annual interest rate is .

The time is months, or years.

 

Set up the equation:

Substitute the values...