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Please show work for points! The designer of a new online shopping website belie

ID: 2505767 • Letter: P

Question


Please show work for points!

The designer of a new online shopping website believe that their site is going to be so popular that they can expect a continuous stream of income from commission on sales that will follow the rate graph to the right As money is received, it is immediately deposited into an account that earns an annual interest rate of 3%. with interest compounded continuously. Assume that the projection on the rate of flow of income is correct. Estimate the amount of money that is expected to arrive via the income flow over the first five years of operation Show relevant calculations.

Explanation / Answer

The total amount will be the area under the curve.

Each block is 20*1/2= $10,000

You count the blocks (estimating the partial ones) I get about 33 or $330,000