We are asked about the amount after 9.5 years of a continuously compounded interest rate of 4%. the formula for the continuously compounded interest rate is the following:
[tex]A=Pe^{rt}[/tex]Where "r" is the interest rate in decimal notation and "t" the time. Replacing the given values we get:
[tex]A=600e^{(0.04)(9.5)}[/tex]Solving the operations:
[tex]A=600e^{0.38}[/tex][tex]A=(600)(1.46)=877.37[/tex]Therefore, after 9.5 years there are $877.37
