Math  /  Algebra

Question16. Use the compound interest formulas to solve the following. Round answers to the nearest cent. a. Find the accumulated value of an investment of $25,000\$ 25,000 for 4 years at an interest rate of 7%7 \% if the money is compounded monthly. b. Find the accumulated value of an investment of $25,000\$ 25,000 for 4 years at an interest rate of 7%7 \% if the money is compounded countinuously.

Studdy Solution
a. With monthly compounding, the accumulated value is approximately $33,077.38\$33,077.38. b. With continuous compounding, the accumulated value is approximately $33,078.25\$33,078.25.

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