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4. Ian $2500 in an investment vehicle that is guaranteed to earn 4% interest compounded yearly. The amount of money, 4, in his account as a function of the number of years, t, since creating the account is given by the equation A(t)=2500 (1.04)'.
(a) Evaluate A(0) and A(10).
(c) Using tables on your calculator, determine, to the nearest whole year, the value of that solves the equation 4(1)=5000. Justify your answer with numerical evidence.
(b) What do the two values that you found in part (a) represent?
(d) What does the value of t that you found in part (c) represent about Ian's investment?
Sagot :
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