How much interest can be accumulated during one year on a $1,000 deposit paying continuously compounded interest at an APR of 10%?
A) $100.00
B) $105.17
C) $110.50
D)$115.70

Name: How much interest can be accumulated during one year on a $1,000 deposit paying continuously compounded interest at an APR of 10%? A) $100.00 B) $105.17 C) $110.50 D)$115.70
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Question

Quizplus · Accepted Answer

Interest = $1,000 × e^.1 - $1,000Interest = $1,000 × 1.10517 - $1,000Interest = $105.17

How Much Interest Can Be Accumulated During One Year on a $1,000