Question

An initial investment of $60.00 increases in value by 15% each year. Which of the following statements are true? Select all that apply. Round your answers to the nearest dollar.

Answer 1

Answer:

The correct options are 2,3, and 7

Step-by-step explanation:

Answer 2

We have to choose which statement is correct. Initial investment is $60.00 and it increases by 15 % each year. It means that it increases 1.15 times each year. Therefore this situation can be represented by the exponential function, which has no x intercept. The function is: f ( x ) = 60 * 1.15^x, where x represents years. For x = 6: f ( x ) =60 * 1.15^6 = 138. For x = 7.68 : f ( x ) = 60 * 1.15^7.68 = 180 . For x = 8 : f ( x ) = 60 * 1.15^8 = 183.54 ( rounded to the nearest dollar: 184 ). Answers: B ) This situation can be represented by the exponential function: f ( x ) = 60 * 1.15^x. C ) This function has no x intercept. F ) After 7.86 years the value of the investment will be 3 times the initial value. G ) After 8 years the value of the investment will be $184.