### Home > APCALC > Chapter 7 > Lesson 7.2.3 > Problem7-81

7-81.

Yong Li’s initial deposit of $1$ has grown to $5$ in just $2$ years of continuously compounded interest! What is the annual interest rate?

$\text{Yield = (initial investment)}\left ( 1+\frac{\text{rate}}{\text{number times compounded per year}} \right )^{\text{length-of-investment}}$

Since you cannot 'plug in' ? to the denominator of a fraction, you will need to use a limit to describe this situation.