Continuously compounded lump sum investment

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Reference no: EM131183640

You have your choice of two investment accounts. Investment A is a 13-year annuity that features end-of-month $1,100 payments and has an interest rate of 6.7 percent compounded monthly. Investment B is a 6.2 percent continuously compounded lump sum investment, also good for 13 years. How much money would you need to invest in B today for it to be worth as much as Investment A 13 years from now?

Reference no: EM131183640

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