The Amount of Principal, $P, Needed to Obtain a Balance

question 126

Multiple Choice

The amount of principal, $P, needed to obtain a balance of $B after t years at r % interest, compounded continuously, is given by the formula . Which of the following gives the amount principal can be changed by and still maintain the same balance if there is an increase of 1% in the interest rate?

• A)-Br
• C)-Bt

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