Hey there!
So, the questions stated that it wanted you to put the values in a specific format.
f(x)= P(1+r)^x
P= what is in the account R= Rate
So, we know that the account as a 4% annual interest rate. In a decimal form, that is 0.04.
Now, we can plug all the numbers in.
500(1+0.04)^x
Or, 500(1.04)^x
All we need to do to find the savings after 5 years is plug in 5 for x into a calculator.
500(1.04)^5= 608.3264512, we can round it to 608.
So, the correct answer is f(x)= 500(1.04)^x, $608
I hope this helps!
~kaikers
