Question

The expression 1.01*1.005(^t) gives the amount of money, in thousands of dollars, in Carter's savings account (t) years after he opens it. What does 1.01 represent in this expression?

Answer 1

That is his starting amount.

Explanation:

This is as this is the first thing there, and has no exponent and is therefore not the multiplier.

Answer 2

Explanation:

Carter's savings account had $1,010 it when he opened it.