Step-by-step explanation:
now the other way around a we did in the other question : here we get the % and need to find the growth factor.
in the same way as before : the growth factor is (1 + growth rate) = (1 + 3.5%) = (1 + 0.035) = 1.035
don't forget, we calculate the growth by basing first on the old balance (multiply by 1) and then add the additional part (multiply the original balance by the given percent and add). therefore, here, 1.035.
A.
our function
I(x) = y = initial investment × (1.035)^x
B.
initial investment = $165
x = 25
I(25) = y = 165 × (1.035)²⁵ = $389.9354224... ≈ $389.94
