Answer:
$1,577.74
Step-by-step explanation:
You are going to want to use the continuous compound interest formula, which is shown below.
[tex]A = Pe^{rt}[/tex]
A = total
P = principal amount
r = interest rate (decimal)
t = time (years)
First change 3% to its decimal form:
3% -> [tex]\frac{3}{100}[/tex] -> 0.03
Next, we can plug in the values into the equation:
[tex]A=8,000e^{0.03(6)}[/tex]
[tex]A=9,577.74[/tex]
The last step is to subtract 8,000 from 9,577.74:
[tex]9,577.74-8,000=1,577.74[/tex]
The total interest earned is $1,577.74
