Suppose that the output of the machinery in a factory can be considered as a continuous income stream with an annual rate of flow at time t given by in thousands of dollars per year. If the annual interest rate is 4% compounded continuously, find the capital value of the machinery. Round your answer to the nearest dollar.
A) $4,406,250
B) $1,175,000
C) $1,958,333
D) $6,462,500
E) $2,937,500

Question

Suppose that the output of the machinery in a factory can be considered as a continuous income stream with an annual rate of flow at time t given by  in thousands of dollars per year. If the annual interest rate is 4% compounded continuously, find the capital value of the machinery. Round your answer to the nearest dollar. ​
A) $4,406,250 
B) $1,175,000 
C) $1,958,333 
D) $6,462,500 
E) $2,937,500

Quizplus · Accepted Answer

The Answer of Suppose that the output of the machinery in a factory can be considered as a continuous income stream with an annual rate of flow at time t given by  in thousands of dollars per year. If the annual interest rate is 4% compounded continuously, find the capital value of the machinery. Round your answer to the nearest dollar. ​
A) $4,406,250 
B) $1,175,000 
C) $1,958,333 
D) $6,462,500 
E) $2,937,500

Suppose That the Output of the Machinery in a Factory