Question

Herky and Elaina want to compare their investment accounts to see how much they will have in the accounts after eight years. They substitute their values shown below into the compound interest formula.

Compound Interest AccountsName
Name Principal | Interest rate | Number of Years | Compounded
Herky 500$ | 5% | 8 | once a year
____________|___________|______________|____________________________
Elaina 400$ | 6% | 8 | Once a year
| | |

Answer 1

C or third answer

Herky : A=500(1+0.05)^8 Elaina: 400(1 + 0.06)^8

Explanation:

P = Principal

r = (interest) Rate

t = time or number of years.