The amount 700 dollars would worth after 8 years , if invested at 5% interest compounded continuously is $1,044.28
How to use compound interest formula?
The compound interest formula can be used to find the amount as follows;
A(n) = p(1 + r / n)ⁿˣ
where
- p = principal
- r = rate
- x = time
- n = compounded continuously
Hence,
p = 700
r = 5 / 100 = 0.05
x = 8 years
Therefore, using
A(n) = p(1 + r / n)ⁿˣ
A(n) = 700(1 + 0.05 / n)⁸ⁿ
Hence,
A = $1,044.28
A = P + I where
P (principal) = $700.00
I (interest) = $344.28
learn more on compound interest here: https://brainly.com/question/14080101
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