Samantha puts an initial $500 into a savings account. The account has a 4% annual compound interest rate. What is the function that best represents Samantha's account and how much does she have in savings after 5 years? Round your answer to the nearest dollar.
Hint: Use the formula, f(x) = P(1 + r)x.
So based on the given problem above, and the given formula, the function that would best represent Samantha's account would be this: f(x) = 500 (1.04)^x Since P is amount and r is the interest rate so P is 500 and r is 0.04. f(x)= P(1 + r)x. f(x) = 500 (1 + 0.04)^x f(x) = 500 (1.04)^x Now, solve for it: f(x) = 500 (1.04)^5 f(x) = 500 (1.21665) f(x) = 608 Therefore, the answer would be the third option. Hope this helps.
