Suppose that $25,000 from a retirement account is invested in a large cap stock fund. After 25 yr, the value is $177,774.94. Part: 0/2 Part 1 of 2 (a) Use the model A=Pe to determine the average rate of return under continuous compounding. Round to the nearest tenth of a percent. Avoid rounding in intermediate steps. The average rate is approximately %. X
Suppose that $25,000 from a retirement account is invested in a large cap stock fund. After 25 yr, the value is $177,774.94. Part: 0/2 Part 1 of 2 (a) Use the model A=Pe to determine the average rate of return under continuous compounding. Round to the nearest tenth of a percent. Avoid rounding in intermediate steps. The average rate is approximately %. X
Advanced Engineering Mathematics
10th Edition
ISBN:9780470458365
Author:Erwin Kreyszig
Publisher:Erwin Kreyszig
Chapter2: Second-order Linear Odes
Section: Chapter Questions
Problem 1RQ
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Transcribed Image Text:Part 2 of 2
(b) How long will it take the investment to reach one-quarter million dollars? Round to the nearest tenth of a year. Round values in intermediate steps to
three decimal places.
It will take approximately
years.
X
S
Transcribed Image Text:Suppose that $25,000 from a retirement account is invested in a large cap stock fund. After 25 yr, the value is $177,774.94.
Part: 0/2
Part 1 of 2
(a) Use the model A=Pe to determine the average rate of return under continuous compounding. Round to the nearest tenth of a percent. Avoid
rounding in intermediate steps.
The average rate is approximately
%.
X
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