Question

Write an exponential function showing the relationship between y and t.
A principal of $1500 was invested at 5.25% interest, compounded annually. Let t be the number of years since the start of the investment. Let y be the value of the investment, in dollars

Answer 1

@Seratul help?

Answer 2

@rebeccaxhawaii help?

Answer 3

@phi help?

Answer 4

there is a formula for savings growing at some interest rate.
do you know it?

Answer 5

no

Answer 6

it is
\[ y= P(1+ r)^t\]
where P is the starting amount (the principal) and r is the rate (as a decimal

Answer 7

so would the answer be y = 1500(1 + 0.0525) ?

Answer 8

y = 1500 (1+ 0.0525)^t

Answer 9

@phi

Answer 10

yes, but you probably simplify 1+0.0525 to 1.0525
so the answer is
\[ y = 1500\cdot 1.0525^t\]

Answer 11

thank you!