Question

You deposit $80 in an

investment account
that earns 4.8%
annual interest
compounded monthly.
Write a function that
represents the balance
y (in dollars) of the
investment account
after t years.
y =
What is the balance of
the account after 7
years?

Answer 1

y = (1)(1.004)^^(84)

y ≈ 1.610

Therefore, the balance of the investment account after 7 years, assuming an initial principal of 1 dollar, is approximately 1.610 dollars.