Question

Tereka and Emma each deposit money in savings accounts. The amount of money, in dollars, in Tereka’s account after x years is modeled by the function T(x) = 472(1.04)x. The amount of money, in dollars, in Emma’s account after x years is modeled by the function E(x) = 485(1.09)x. What is the difference between the initial amounts Tereka and Emma deposit?

Answer 1

Given:

Amount of money in Tereka’s account : $T(x)=472(1.04)^x$

Amount of money in Emma’s account : $E(x)=485(1.09)^x$

To find:

The difference between initial amounts Tereka and Emma deposit.

Solution:

Substitute x=0 in the given functions, to get the initial amount of money they deposit.

$T(0)=472(1.04)^0$

$T(0)=472(1)$

$T(0)=472$

So, the initial amount Tereka deposit is $472.

$E(0)=485(1.09)^0$

$E(0)=485(1)$

$E(0)=485$

So, the initial amount Emma deposit is $485.

Difference between the initial amounts Tereka and Emma deposit is

$485-472=13$

Therefore, the difference between initial amounts Tereka and Emma deposit is $13. Emma deposit $13 more than Tereka.