Question

Jenna invests $1000 in a mutual fund with a 4% rate of annual return. Write the function that will allow us to calculate the total value of her account, f(x) , after a given number of years x.x is 10

Answer 1

Given:

`\begin{gathered} \text{Principal(P)}=1000 \\ \text{rate of interest(r)=4 \%} \\ n=10\text{ years} \end{gathered}`
`\begin{gathered} \text{Amount}=P(1+r)^n \\ =1000(1+0.04)^(10) \\ =1000((1.04)^(10) \\ =1000(1.48024) \\ =1480.24 \end{gathered}`
`f(x)=1000(1.04)^x`