If $1000 is invested for x years at 11%, compounded continuously, the future value that results is S = 1000e0.11x. What amount will result in 3 years? (Round your answer to the nearest cent.)

The result in 3 year will be $1,391

Explanation:

Continuous compounding occurs when someone reinvest his principal and interest earned every year to indefinite period of time.

Future value

S = 1000e0.11x

Future Value in 3 years

S = 1000 x [e^0.11 (3) ] =

S = 1,000 x 1.39097

S = $1,390.97