Diana invested some money in a bank at a fixed rate of interest compounded annually. The equation below shows the value of her investment after x years.
f(x)-400(1.01)^x

Question

Diana invested some money in a bank at a fixed rate of interest compounded annually. The equation below shows the value of her investment after x years.
f(x)-400(1.01)^x

anonymous · Answer

I need to find a way to do it please

anonymous · Answer

1.01 dollars per year

 2.47 dollars per year

 4.12 dollars per year

 12.36 dollars per year

wolf1728 · Answer

I'm not exactly sure of your question.
f(x)-400(1.01)^x
Is that total = 400*(1.01)^years ?
400*1.01^1 = $404.00

and are those 4 amounts the multiple choices?

anonymous · Answer

oops sorry, I meant to put f(x)=400(1.01)^x
And yes the amounts are multiple choice

wolf1728 · Answer

So, after 1 year the amount is 404.00
Looks as if $4.12 is the closest.

anonymous · Answer

Alright thank you

anonymous · Answer

Well actually this asks for rate of change from the second year to the fifth

anonymous · Answer

Calculate the  value at the end of the firth year, A5, and the end of the second year, A2, then the rate of change will be (A5-A2)/(5-2) per year