• anonymous
Sophia invested some money in a bank at a fixed rate of interest compounded annually. The equation below shows the value of her investment after x years. f(x) = 500(1.05)x What was the average rate of change of the value of Sophia's investment from the second year to the fourth year? 14.13 dollars per year 28.25 dollars per year 50.00 dollars per year 56.50 dollars per year
  • Stacey Warren - Expert
Hey! We 've verified this expert answer for you, click below to unlock the details :)
At vero eos et accusamus et iusto odio dignissimos ducimus qui blanditiis praesentium voluptatum deleniti atque corrupti quos dolores et quas molestias excepturi sint occaecati cupiditate non provident, similique sunt in culpa qui officia deserunt mollitia animi, id est laborum et dolorum fuga. Et harum quidem rerum facilis est et expedita distinctio. Nam libero tempore, cum soluta nobis est eligendi optio cumque nihil impedit quo minus id quod maxime placeat facere possimus, omnis voluptas assumenda est, omnis dolor repellendus. Itaque earum rerum hic tenetur a sapiente delectus, ut aut reiciendis voluptatibus maiores alias consequatur aut perferendis doloribus asperiores repellat.
  • jamiebookeater
I got my questions answered at in under 10 minutes. Go to now for free help!
  • mathstudent55
I assume the x is an exponent. First, find f(4). Then find f(2). Then subtract their values and divide by 2.
  • anonymous
  • wolf1728
That formula should actually be: Total = Principal * (1 + rate) ^ years and I guess we assume the principal is $500 as mathstudent55 said we must find f(4) which is 500*(1.05)^4 = 607.75 Then find f(2) which is 500*(1.05)^2 = 551.25 607.75 -551.25 = 56.50 for 2 years or 28.25 per year which looks like it's the second answer

Looking for something else?

Not the answer you are looking for? Search for more explanations.