Victoria has $200 of her birthday gift money saved at home, and the amount is modeled by the function h(x) = 200. She reads about a bank that has savings accounts that accrue interest according to the function s(x) = (1.05)x−1. Explain how Victoria can combine the two functions to model the total amount of money she will have in her bank account as interest accrues after she deposits her $200. Justify your reasoning.

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Solution :

Amount of money Victoria has = $200

The amount modelled by function = h(x) = 200

According to the function,

s(x) = (1.05)x - 1

It means that the total amount of the interest that Victoria will receive s(x) is equal to original amount of $200 which multiplied by the rate of interest (1.05) and then multiplied by the time that Victoria keeps the money in the bank (x) minus 1.

The total amount of money she will have in her bank account as interest accrues after she deposits her $200 is 200 [tex](1.05)^{x-1}[/tex]

Exponential functions

THe standrd exponential function is exprressed as:

y = a(1±r)^t

Given the following parameters

h(x) = a = 200

s(x) = [tex](1.05)^{x-1}[/tex]

Combining both expressions will given 200 [tex](1.05)^{x-1}[/tex]

Hence the total amount of money she will have in her bank account as interest accrues after she deposits her $200 is 200 [tex](1.05)^{x-1}[/tex]

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