Question

Write the exponential equation for this scenario. Georgiana invests $3000.00 in a CD. The CD earns 10% annual interest. How much would Georgiana's investment be worth after 30 years?

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Answer 1

The exponential equation is;

F = 30,000(1.01)^30

The value is;

$40,435.50

Explanation:

Here, we are to write an exponential equation

Exponential equations generally take the form;

F = I(1 + r)^t

where F is the future value

I is the initial value

r is the growth percentage

t is the time

with respect to the question;

F = ?

I = 3,000

t = 30

r = 10% = 10/100 = 0.1

Writing the equation, we have

F = 30,000(1.+ 0.1)^30

F = 30,000(1.01)^30

F = $40,435.50