Question #16968

Each curve in the figure below represents the balance in a bank account into which a single deposit was made at time zero.
http://imageshack.us/f/822/ob50k849dw033574setassi.png/
Assuming continuously compounded interest, find (enter each answer as value or a list, e.g, I or II,III): :
(a) The curves representing the same initial deposit :
(b) The curves representing the same interest rate :
(c) The curve(s) representing the largest interest rate :
(d) The curve(s) representing the largest initial deposit :

Expert's answer

(a) curves I and IV;

(b) curves I and III;

(c) curve IV;

(d) curve II.

(b) curves I and III;

(c) curve IV;

(d) curve II.

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