Enter 3 out of 4 below
Given a principal of 4500,
an interest rate of 3%,
and time of 7
Calculate the Accumulated Value using Continuous Interest
The formula for Accumulated Value using Continuous Interest is:
Accumulated Value = Pert where e = 2.718281828459
Plugging in our values that we entered, we get:
Accumulated Value = 4500(2.718281828459)(0.03)(7)
Accumulated Value = 4500(2.718281828459)0.21
Accumulated Value = 4500 x 1.2336780599567
Calculate the total interest earned:
Total Interest Earned = Accumulated Value - Principal
Total Interest Earned = 5551.55 - 4500
Total Interest Earned = 1051.55
Calculate the interest earned:
| Interest per Period = | Interest Earned |
| t |
| Interest per Period = | 1051.55 |
| 7 |
Interest per period = 150.22142857143
Final Answer
Accumulated Value using Continuous Interest = 5551.55
