Question

An account is opened with $7,595.96 with a rate of increase of 2% per year. After 1 year, the bank account contains $7,746.90. Assuming no deposits or withdrawals are made, which equation can be used to find y, the amount of money in the account after x years

Answer 1

Answer:

y = 7,595.96(1.02)x

Step-by-step explanation:

y = 7,595.96(1.02)x

a normal linear equation is basically y = x + b

in this case,

• y = amount of money in the bank account
• x = number of years
• b is not required because there are no new deposits or withdrawals from the account

Since the accounts earns 2% interest per year, then you need to multiply the original amount by 1.02. As more years pass, the account will increase by 1.02, so the account increases by 1.02x. Since the original amount is $7,595.96, that will be our starting point.