Question

Yui makes a list of the balances in her savings account at the end of each month. She notices that each month’s total is 5% greater than the previous month’s total. She writes a recursive formula to describe the account balances.

Which value should she use as the common ratio?

Answer 1

Explanation:

The common ratio that Yui should use in her recursive formula is 1.05. This is because each month's total is 5% greater than the previous month's total, which can be represented as 1 + (0.05) = 1.05.