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CaHeK987 [17]
3 years ago
7

Meredith invested $5,500 into an account that earned 5% interest per year. When she cashed out the investment to use it as a dow

n payment for a new car, it was worth a total of $7,739.05.
Which equation describes Meredith's investment based on t, the number of years she kept the account open?



A: t=7,739.05 (5,500)^0.05

B: 7,739.05=5,500(1.05)^t

C: t=7,739.05 (5,500)^1.05

D: 7,739.05= 5,500(0.05)^t
Mathematics
1 answer:
Andrej [43]3 years ago
5 0

Answer:  B. 7739.05=5500(1.05)^t

Step-by-step explanation:

The formula to find the compound amount (compounded yearly):-

A=P(1+r)^t, where P is the principal amount invested,  is the rate of interest and t is time period.

As per given , we have

P=$5500    ,  r=5% = 0.05   and A =  $7,739.05.

Substitute all the values in the formula , we get

7739.05=5500(1+0.05)^t

7739.05=5500(1.05)^t

Hence, the equation describes Meredith's investment based on t, the number of years she kept the account open : 7739.05=5500(1.05)^t

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