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You deposit $125 at 4% interest compounded annually.

Create an equation and determine which of the following ordered pairs are a part of the solution set.
(1,130)
(3,111)
(4,106)
(5,152)
(2,135.2)

User Wellyngton
by
7.4k points

1 Answer

2 votes

growth equation : f(x) = a(1+r)^x. a = base amount r = rate x = time

In this problem a = 125 & r = 4% or 0.04
so the equation is :
f(x) = 125(1+0.04)^x

Now u just substitute the x value to see which ones make the equation true


answers :

(1,130)

(5,152)


hope this helped =)

User Sebastian Templin
by
7.0k points