Question

The value *V* (in dollars) of a tract of timber can be
modeled by

* V* =
110,000

where *t* = 0 corresponds to 1990. If money earns
interest at a rate of 5% compounded continuously, then the present
value *A* of the timber at any time *t* is

* A* =

Find the year in which the timber should be harvested to maximize the present value.

Answer #1

As the financial consultant to a classic auto dealership, you
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1959 Chevrolets and Fords is given by the formula
v = 306,000 +
1,000t2 (t
≥ 5)
where t is the number of years from now. You anticipate
a continuous inflation rate of 5% per year, so that the discounted
(present) value of an item that will be worth $v in
t years' time is
p = ve−0.05t.
When would...

Find the present value P of a continuous income flow of
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P =
t1
c(t)e−rt dt,
0
where t1 is the time in years and r
is the annual interest rate compounded continuously. (Round your
answer to the nearest dollar.)
c(t) = 100,000 + 4000t, r = 5%, t1 = 8

The function f(x) = 900 represents the rate of flow of money in
dollars per year. Assume a 5-year period at 5% compounded
continuously. Find the present value at t = 5.

The function f(x)=900 represents the rate of flow of money in
dollars per year. Assume a 5 - year period at 5% compounded
continuously. Find (A) the present value, and (B) the accumulated
amount of money flow at t=5

The function F(X)= 700e^0.03x represents the rate of flow of
money in dollars per year. Assume a 10 year period at 5 percent
compounded continuously. A. Find the present value B. the
accumulated amount of money flow at t=10?

If $2000 is invested at 6% interest, find the value of the
investment (in dollars) at the end of 4 years if the interest is
compounded continuously. The value is $____
A bacteria culture starts with 1000 bacteria and the population
triples after 6 hours. Find an expression for the number y(t)y(t)
of bacteria after t hours.
y(t)=
If the bacteria in a culture double in 4 hours, how many hours
will it take before 5 times the original number...

Suppose that a printing firm considers its production as a
continuous income stream. If the annual rate of flow at time
t is given by
f(t) =
91.5e−0.8(t + 3)
in thousands of dollars per year, and if money is worth 8%
compounded continuously, find the present value and future value
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answers to the nearest dollar.)
present value$ =
future value$ =

find the accumulated present value of the following continuous
income stream at rate R(t), for the given time T and interest rate
k, compounded continuously. R(t)=.06t+400, T=10, k=8

Find the accumulates present value of the following continuous
income stream at rate R(t), for the given time T and interest
rate k, compounded continuously
R(t)=0.01t+100, T=10, k=4%
Round to nearest cent as needed

5. James wants to invest $85000. He can invest the money at 7.3%
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10. Solve the problem. The population of a country is modeled by
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