Compounded continuosly we will use the formula :
A(t) = Pe ^rt
where P = $110 000
r = 8% = 0.08
t = 5 year
So ,
A(5) = 110000 e ^(0.08 * 5)
= 110 000e^0.4
= 164100.716
• This means that the continuos compound interest of $110 000 will amount to, $164100.72, after 5 years on 8 % interest.
