You initially invest $400 in a savings account that pays a yearly interest rate of 3%.(a) Write a formula for an exponential function giving the balance in your account as a function of the time sinceyour initial investment. (Let B be the account balance in dollars and t be the number of years since the initialinvestment.)8(t)=dollars(b) What monthly interest rate best represents this account? Round your answer to three decimal places.%(c) Calculate the decade growth factor. (Round your answer to two decimal places.)(d) Use the formula you found in part (a) to determine how long it will take for the account to reach $536. (Roundyour answer to the nearest whole number.)yrExplain how this is consistent with your answer to part (c),At the end of one decade, there will be $where the account reaches $536 at the end ofThis --Select-- o the answer found aboveyears,

The value of money grow with time and interest rate due to accumulation of interest over the period…

your initial investment. (Let B be the account balance in dollars and investment.) 8(t)= dollars (b) What monthly interest rate best represents this account? Round your answer to % (c) Calculate the decade growth factor. (Round your answer to two decimal places. (d) Use the formula you found in part (a) to determine how long it will take for the your answer to the nearest whole number.)

your initial investment. (Let B be the account balance in dollars and investment.) 8(t)= dollars (b) What monthly interest rate best represents this account? Round your answer to % (c) Calculate the decade growth factor. (Round your answer to two decimal places. (d) Use the formula you found in part (a) to determine how long it will take for the your answer to the nearest whole number.)

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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