** Enter percentages as whole numbers, i.e. 5% should be input as 5. The calculator converts percentages to decimal form.
Continuous Compound Interest FormulaTo solve a problem seeking continuous compound interest, the formula is:
A = Pert
A = Amount of future value
P = Initial amount invested
e = Stands for Napier's number and is approximately 2.7183
r = Interest rate
t = Length of time investment will accrue
Sample Continuous Compound Interest ProblemAlex has $7000 to invest in a bank savings account. The savings will accrue interest continuously at 5.7%, how much will he have after 7 years?
A = $7,000 * 2.7183 .057 * 7
He will have $10,432.33 after his money has continuously compounded over 7 years.