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One percent daily growth for one hundred days

Question

You put $100 into an investment that grows by 1%1\% every day, compounding daily. How much is it worth after 100100 days, to the nearest dollar?

Short answer

$270. The value is 100⋅1.01100100\cdot1.01^{100}. Since 100ln⁡1.01=100(0.01−0.00005+… )≈0.995100\ln1.01=100(0.01-0.00005+\dots)\approx0.995, this is about 100e0.995≈270.48100e^{0.995}\approx270.48, just under 100e100e.

Adapted from QuantQuestions.io; question and answer rewritten by SelfMadeQuant.com.

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