The function below represents the interest Larissa earns on an investment. Identify the term that represents the amount of money
2 answers:
Option b: 7000
Explanation:
The function that Larissa earns on an investment is
The amount of money originally invested by Larissa can be found using the compound interest formula,
where
P is the amount of money invested. (Principal)
r is the rate of interest which can be expressed as decimals.
x is the number of periods.
Hence, comparing with the formula
, the principal amount can be determined.
Thus, the principal amount is 7000.
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