Scott invests $1000 at a bank that offers 6% compounded annually. Write an equation to model the growth of the investment.

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Mathematics

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12 January, 15:44

Scott invests $1000 at a bank that offers 6% compounded annually. Write an equation to model the growth of the investment.

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Monica Best · Answer 1

You can use A=P (1 + (r/n)) ^ (nt)

n=homany times it is compounded a year: 1 annually

t=time in years

r=rate: 6% or. 06

A=Final Amount

P=principle amount

A=1000 (1 + (.06/1)) ^ (1*t)