Answer:
D.) the amount in the account increase by 4% each year
Explanation:
Compound interest formula: P*(1+r/n)^(nt)
P=initial principal balance
r=interest rate
n=times applied per [time (eg year)]
t=number of time periods gone by
The expression: 2500(1.04)^x
The expression: 2500(1+1/25)^(nt)
1.04=1+1/25=increases by 4% each year