If an amount Po is invested in the Mandelbrot Bond Fund and interest is compounded continuously at 7.1% per year, the balance P grows at the rate given by dP =0.071P. dt a) Find the function that satisfies the equation. Write it in terms of P, and 0.071. b) Suppose that $1500 is invested. What is the balance after 1 year? After 4 years? c) What is the rate of change of the balance after 1 year? After 4 years?
If an amount Po is invested in the Mandelbrot Bond Fund and interest is compounded continuously at 7.1% per year, the balance P grows at the rate given by dP =0.071P. dt a) Find the function that satisfies the equation. Write it in terms of P, and 0.071. b) Suppose that $1500 is invested. What is the balance after 1 year? After 4 years? c) What is the rate of change of the balance after 1 year? After 4 years?
Algebra and Trigonometry (MindTap Course List)
4th Edition
ISBN:9781305071742
Author:James Stewart, Lothar Redlin, Saleem Watson
Publisher:James Stewart, Lothar Redlin, Saleem Watson
Chapter4: Exponential And Logarithmic Functions
Section4.2: The Natural Exponential Function
Problem 2E
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