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Exponential Function Word Problems Form

Exponential Function Word Problems Form

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go ahead and solve this word problem 5000 was placed in an account earning 7 interest calculate the final amount in the account after 6 years if the interest received is compounded monthly so what equation do we need in order to figure this out here's the equation a is equal to p times 1 plus r divided by n raised to the nt okay so what exactly can we do with this you need to know that a represents the final amount p is the principal that's how much you put in the account initially we placed in five thousand dollars in the account the interest rate is seven percent which is point zero seven as a decimal to get it just take seven and divided by a hundred now n is the number of times your account is credited with interest per year so it's compounded monthly that means your account is credited with interest every month or 12 times a year so n is 12. by the way if it's compounded daily what is the value of n there's 365 days in a year so if you hear

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