Suppose that $50,000 from a retirement account is invested in a large cap stock fund. After 20 yr. the value is $194 .,809 .67 . a. Use the model A = P e r t to determine the average rate of return under continuous compounding. Round to the nearest tenth of a percent. b. How long will it take the investment to reach one-quarter million dollars? Round to the nearest tenth of a year.
Suppose that $50,000 from a retirement account is invested in a large cap stock fund. After 20 yr. the value is $194 .,809 .67 . a. Use the model A = P e r t to determine the average rate of return under continuous compounding. Round to the nearest tenth of a percent. b. How long will it take the investment to reach one-quarter million dollars? Round to the nearest tenth of a year.
Solution Summary: The author calculates the average rate of return of an invested amount under continuous compounding by using the model equation A=Pert.
Use the properties of logarithms, given that In(2) = 0.6931 and In(3) = 1.0986, to approximate the logarithm. Use a calculator to confirm your approximations. (Round your answers to four decimal places.)
(a) In(0.75)
(b) In(24)
(c) In(18)
1
(d) In
≈
2
72
Find the indefinite integral. (Remember the constant of integration.)
√tan(8x)
tan(8x) sec²(8x) dx
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, calculus and related others by exploring similar questions and additional content below.
Compound Interest Formula Explained, Investment, Monthly & Continuously, Word Problems, Algebra; Author: The Organic Chemistry Tutor;https://www.youtube.com/watch?v=P182Abv3fOk;License: Standard YouTube License, CC-BY
Applications of Algebra (Digit, Age, Work, Clock, Mixture and Rate Problems); Author: EngineerProf PH;https://www.youtube.com/watch?v=Y8aJ_wYCS2g;License: Standard YouTube License, CC-BY