anonymous
  • anonymous
Explain the difference in how you would model the following situations. Person A puts $1000 in a safe in his house and puts an additional $50 per year. Person B puts $1000 in an investment that earns 5% per year. Why is one exponential and the other linear? How would their graphs compare? How would their values compare over time?
Mathematics
katieb
  • katieb
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amistre64
  • amistre64
one is exponential because it uses the amount already in the account to determine the value added; the other uses just an equal sum added each year regardless of what the balance is...
amistre64
  • amistre64
one graph is a straight line with a marginal slope upwards; the other is a curve that increses upward the further you go in time the higher it bends
amistre64
  • amistre64
does that make sens eto you?

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anonymous
  • anonymous
Yes it does. Thank you amistre :)
amistre64
  • amistre64
youre welcome :)

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