Question

Martin has a savings account. The value of his savings account can be modeled by the equation M(x) = 450(1.0075), where t is the time in

years. Which statement is true?

Answer 1

M(x)=450(1.0075)= 453.375

`(Final \ value \ - \ starting \ value)/(starting \ value)*100`

`(453.375-450)/(450) *100=(3.375)/(450) *100=0.0075*100=0.75`

Explanation:

C. The value of the account increases 0.75% each year