Question

The expression below represents the number of transactions of a hardware supply store over a period of time. 1,095(1.13)^4 what does the first factor represent in the context of the situation

Answer 1

The initial number of transactions was 1,095.

Explanation:

Answer 2

The 1095 represents the amount of transactions already processed.

Explanation:

Since this equation is showing us the number of transactions added over time, we know that in A = P(1 + r)^t,

A is the total amount

P is the starting amount

r is the rate

t is the time

So, our 1095 matches with P, and is the starting amount of transactions.