Kristin’s grandparents started a savings account for her when she was born. They invested $500 in an account that pays 8% interest compounded annually. Homework Help ✎
Write an equation to model the amount of money in the account on Kristin’s xth birthday.
How much money is in the account on Kristin’s 16th birthday?
What are the domain and range of the equation that you wrote in part (a)?
Sketch a graph of this situation.
y = 500(1.08)x
Substitute 16 for x.
Read Math Notes box in Lesson 1.2.5 for definition of domain and range.
If you were to make a table of values for this situation, what would your minimum/maximum values be?