The Initial Investment in a Savings Account in Which Interest

question 11

Multiple Choice

The initial investment in a savings account in which interest is compounded continuously is $604.If the time required to double the amount is years, what is the amount after
15 years? Round your answer to the nearest cent.

• A)$1,917.58
• B)$1,804.46
• C)$1,907.37
• D)$1,404.46
• E)$8,278.18

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Definitions:

Luxury

High-quality goods or services that are not essential but are highly desired and associated with wealth or indulgence.

Substitutes

Goods or services that can be used in place of each other to satisfy consumer needs or desires.

Supply Curve

A graph showing the relationship between the price of a good and the amount of it that producers are willing to sell at each price level.

Market Period

A short duration in which the quantity of goods supplied to the market cannot be changed.