Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
If r per annum is the rate at which the principal A is compounded annually, then at the end of k years, the money due is
Q = A (1 + r)k
Suppose compounding is done continuously. i.e. at every instant the principal A is compounded at R per annum. Then,
Q = A eRk
The relationship between R and r is given by the following reasoning:
A (1 + r)k = A eRk
Example
If R = 5.25%, then ln(1 + r) = 5.25% or r = 5.39%
Suppose Rs.100 is being compounded annually at the rate of 10% per annum. What is the future value of Rs.100 at the end of the third year? What is the effective continuously compounded rate of interest? What is the future value of Rs.100 at the end of the third year, using this interest rate?
FV(Rs.100) = 100 x (1.10)3 = 133.1
If r = 0.1, then the continuously compounded rate of interest R is given by
R = ln(1 + 0.1) = 0.0953
FV(Rs.100) = 100 e0.0953 x 3 = 100 x 1.331 = 133.1
Ratio Test In this part we are going to take a look at a test that we can make use to see if a series is absolutely convergent or not. Remind that if a series is absolutely c
If the areas of two sections of a garden are 6a + 2 and 5a, what is the difference among the areas of the two sections within terms of a? Because the question asks for the diff
The Lognormal Distribution If ln(X) is a normally distributed random variable, then X is said to be a lognormal variable. If P1, P2, P3, ... are the prices of a scrip in per
The locus of the midpoint of the chords of an ellipse which are drawn through an end of minor axis is called
introduction to decimals
How the property AM>or = GM used to get minimum value of the function......e,g for what condition of a and b does minimum value of a tan^2 x + b cot^2 x equals maximum value of a
Logarithm Functions : In this section we'll discuss look at a function which is related to the exponential functions we will learn logarithms in this section. Logarithms are one o
Explain Expressions ? "One set of absolute value signs can only take the absolute value of one number." For example, For the absolute value of negative six plus three,
Q) In 3D-geometry give + and - signs for x,y,z, in all eight octants Ans) There is no specific hard rule for numbering the octants. So, it makes no real sense to ask which octan
A large pipe dispenses 750 gallons of water in 50 seconds. At this rate, how long will it take to dispense 330 gallons? Find out the number of gallons per second by dividing 75
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +91-977-207-8620
Phone: +91-977-207-8620
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd