Question

The function f(x) = 3,005(1 + 0.03)x represents the amount of money in a savings account where x represents time in years. What does the 3,005 represent?​

Answer 1

Answer:

Principal or Initial Amount of Money

Step-by-step explanation:

Given, f(x) = 3005(1+0.03)^x.  

Now, comparing with f(x)= ab^x where  

a = initial value

b = rate of growth

x = time or period  

This, function is an exponential growth function. So by comparing we get a= 3005 which is the initial value b = 0.03.  

But in this case according to the question, the function f(x)= 3005(1+0.03)^x represents the amount of money in a savings. So the answer is 3005 which is the initial money.