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14 June, 16:58

Justin deposited $4000 into an account in the first Niagara bank, earning 3.2% interest, compounded annually. He made no deposits or withdrawals. Write an equation that can be used to find B, his account balance after T years.

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  1. 14 June, 17:18
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    B = 4000·1.032^T

    Step-by-step explanation:

    Each year the balance is multiplied by 1+3.2% = 1.032. After T years, the initial balance will have been multiplied by that factor T times, so the balance will be ...

    B = 4000·1.032^T
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