The graph of the function \( A(t) = 3,000(1.14)^t \) represents an exponential growth curve, indicating that the investment increases rapidly over time due to the 14% annual growth rate. The initial value or y-intercept of the graph is $3,000, which is the amount Andrea invested. As \( t \) increases, the value of the investment grows exponentially, demonstrating the power of compound interest as each year's growth builds on the previous year's value.
Andrea invested $3,000 in an online currency. If the value of the currency increases at a rate of 14% per year, the situation can be modeled using the equation A(t)=3,000(1.14)t
𝐴
(
𝑡
)
=
3
,
000
(
1.14
)
𝑡
, where A
𝐴
is the amount in the investment after t years. In 3 sentences, identify the key features of the graph and interpret the meaning of the data.(2 points)
1 answer
1 answer