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Tresset [83]
3 years ago
10

A savings account with compounded interest can be modeled by which type of graph

Mathematics
2 answers:
Leona [35]3 years ago
6 0

Answer: The answer is (C) Exponential.

Step-by-step explanation: We are to select out of the given options the type of graph that a savings account with compounded interest be modelled.

We know that compounding gives more interest because we are earning interest on interest, and not just on the principal.

The formula foe compound interest is given by

C.I.=P(1+\dfrac{r}{100})^n, where, 'P' is the principal, r is the rate of interest and 'n' is the number of years.

Therefore, we can see that the function is of exponential type.

If we draw the graph of compound interest earned every year with a particular rate of interest is of exponential type.

So, the correct option is (C) Exponential.

Arte-miy333 [17]3 years ago
3 0
Exponential since it it growing apon itself and the bigger it gets, the faster it grows
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