The key words here are compounded continuously. That being said let's use the continuous growth formula:
[tex]a(t) = p {e}^{rt} [/tex]
where a(t) is the final amount after t years, p is the principal amount (starting amount $1000), r is the rate in decimal 3.5% = 0.035. And so for any given year the final amount can be described as:
[tex]a(t) = 1000 {e}^{0.035t} [/tex]
