Are
you invest in a bank account which pays 6% compounded continuously.
You withdraw money continuously at a rate of $4000 per month. Let B
be the balance in dollars and T be in time year in years. Suppose
you initially start with $3 million.
a)
set up a differential equation for the situation. Include the
initial condition. Do not solve.
b)
find the equilibrium for the differential equation. Is it stable or
unstable?