Answer:
Step-by-step explanation:
The formula for continuous compounding is
[tex]A(t)=Pe^{rt}[/tex] where A(t) is the amount after all the compounding is done, P is the initial investment, r is the rate as a decimal, and t is the time in years. Filling in our info:
[tex]A(t)=500e^{(.1)(5)}[/tex]
First raise e to the product of that power to get
[tex]A(t)=500(1.64872171)[/tex]
Multiply those numbers together to get A(t) = $824.36
