Question

Tereka and Emma each deposit money in savings accounts. The amount of money, in dollars, in Tereka’s account after x years is modeled by the function T(x) = 472(1.04)x. The amount of money, in dollars, in Emma’s account after x years is modeled by the function E(x) = 485(1.09)x. What is the difference between the initial amounts Tereka and Emma deposit?

Answer 1

Given:

Amount of money in Tereka’s account :
`T(x)=472(1.04)^x`

Amount of money in Emma’s account :
`E(x)=485(1.09)^x`

To find:

The difference between initial amounts Tereka and Emma deposit.

Solution:

Substitute x=0 in the given functions, to get the initial amount of money they deposit.

`T(0)=472(1.04)^0`

`T(0)=472(1)`

`T(0)=472`

So, the initial amount Tereka deposit is $472.

`E(0)=485(1.09)^0`

`E(0)=485(1)`

`E(0)=485`

So, the initial amount Emma deposit is $485.

Difference between the initial amounts Tereka and Emma deposit is

`485-472=13`

Therefore, the difference between initial amounts Tereka and Emma deposit is $13. Emma deposit $13 more than Tereka.