Question

The function below represents the interest Kristina earns on an investment. Identify the term that represents the amount of money originally invested.
f(x) = 5,000(1 + 0.04)x

1
0.04
1.04
5,000

Answer 1

Answer:

5,000

Step-by-step explanation:

Answer 2

Answer:

$\boxed{5000}$

Step-by-step explanation:

The formula for the amount accrued on an investment earning compound interest is

$f(x) = P(1 + r)^{x}$

where

P = the amount of money invested

r = the interest rate per payment period expressed as a decimal fraction

t = the number of periods

Your formula is

$f(x) = 5000(1 + 0.04)^{x}\\\text{By comparing the formulas, we see that the amount of money invested is \boxed{\textbf{5000}} }$