Question

Please Help! The amount of money in an account may increase due to rising stock prices and decrease due to falling stock prices. Emerson is studying the change in the amount of money in two accounts, A and B, over time.

The amount f(x), in dollars, in account A after x years is represented by the function below:

f(x) = 1,264(1.09)x

Part A: Is the amount of money in account A increasing or decreasing and by what percentage per year? Justify your answer.

Part B: The table below shows the amount g(r), in dollars, of money in account B after r years.

r (number of years):
1
2
3
4
g(r) (amount in dollars):
1,375
1,512.50
1,663.75
1,830.13
Which account recorded a greater percentage change in amount of money over the previous year? Justify your answer.

Answer 1

The account is decreasing at an annual rate rate of 8%.The account decreasing at annual rate of 10.00%

Account B is Recorded a greater percentage change in amount of money over the previous year.