if $945 is invested at an interest rate of 4% per year and is compounded continuously, how much will the investment be worth in 10 years?
use the continuous compound interest formula a = pert.
a. $947
b. $984
c. $1,028
d. $1,410

The correct option is D which is ''the investment after 10 years is worth $1,410''.

Given

If $945 is invested at an interest rate of 4% per year and is compounded continuously.

The formula is used to find continuous compound interest is;

Where p is the principal amount of money invested.

r is the rate of interest, t is the time of investment, A is the final amount invested value, and e is the exponential term.

Substitute all the values in the formula;

Hence, the investment after 10 years is worth $1,410.

To know more about Compound interest click the link given below.

link

Option D  

Step-by-step explanation:

we know that

The formula to calculate continuously compounded interest is equal to

where  

A is the Final Investment Value  

P is the Principal amount of money to be invested  

r is the rate of interest in decimal  

t is Number of Time Periods  

e is the mathematical constant number

we have  

substitute in the formula above  

b: 1 is the final answeer! : )

hi

step-by-step explanation: