select the correct location on the expression. joanna uses this exponential expression to determine the…

select the correct location on the expression. joanna uses this exponential expression to determine the value of her savings account in five years. which term represents the initial value of her account? 5,000(1 + \\frac{0.04}{12})^{12t}

select the correct location on the expression. joanna uses this exponential expression to determine the value of her savings account in five years. which term represents the initial value of her account? 5,000(1 + \\frac{0.04}{12})^{12t}

Answer

Explanation:

Step1: Recall compound - interest formula

The compound - interest formula is $A = P(1+\frac{r}{n})^{nt}$, where $A$ is the final amount, $P$ is the principal (initial) amount, $r$ is the annual interest rate, $n$ is the number of times interest is compounded per year, and $t$ is the number of years.

Step2: Identify initial amount in given formula

In the expression $5000(1 +\frac{0.04}{12})^{12t}$, comparing with the compound - interest formula, the initial value of the account is the coefficient of the exponential part. Here, $P = 5000$.

Answer:

$5000$