Question

Adita invested money in an account where interest is compounded every year. She made no withdrawals or deposits.

The function A(t) = 728(1 + 0.04)t represents the amount of money in the account after t years. How much money did Adita originally invest?

Answer 1

Sent an attachment with explanations. P=initial amount deposited. P=728.

Answer 2

$728

Explanation:

The formula for the amount of money available at any time in years is given by the formula,

`A(t)=728(1+0.04)^t.`

To determine the amount of money that Adita initially invested, we have to find out the value of the investment when t=0. This calculation is shown below,

`A(t)=728(1+0.04)^t\\A(0)=728(1+0.04)^0\\A(0)=728(1)=728.`

The original value of the investment is $728.