Question
An heiress receives an income stream from a will at a rate of f(t) = 40,000e0.023t...
An heiress receives an income stream from a will at a rate of
f(t) = 40,000e0.023t
dollars per year.
She invests this income and earns 4.7% interest (compounded continuously). (Round your answers to two decimal places.)
(a) What is the future value of the income after ten
years?
$
(b) Compute the present value of the income over a ten year
period.
$
Homework Answers
Answer #1
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