Question

Select the function that represents the simple interest formula.

A. A(n)=(n-1)(P*i)^n, where n is any real number
B. A(n)=n+(P-1)i*P, where n is a positive integer
C. A(n)=P(1+i)^n-1, where n is any real number
D. A(n)=P+(n-1)i*P, where n is a positive integer

Answer 1

Answer:D

. A(n)=P+(n-1)i*P, where n is a positive integer

Explanation:

Answer 2

D. A(n) = P + (n-1)i*P

Explanation:

The formula to calculate the simple interest is:

`SI = (Pnr)/(100)`

Replace i by
`(r)/(100)`, then

SI = Pni

where n is the number of years.

So, for n-1 years, the simple interest is:

SI = P(n-1)*i

The Total amount is:

A(n) = P + (n-1)i*P