Consider this formula for finding the total amount of money generated by an account receiving compound interest: A=200(1+0.081)1⋅t . When comparing to y=a(1+r)t , the general formula for exponential growth, which part of the compound interest formula compares best with the variable r?(1 point) Responses 1 1 0.08 0.08 1t 1 t 200

1 answer

In the formula \( A = 200(1 + 0.081)^{1 \cdot t} \), we can identify the variables and constants.

The general formula for exponential growth is \( y = a(1 + r)^t \), where:

  • \( a \) is the initial amount,
  • \( r \) is the growth rate,
  • \( t \) is the time.

In the given compound interest formula, the term \( 0.081 \) represents the growth rate (as it is the portion added to 1 in the base of the exponential).

Thus, when comparing to \( y = a(1 + r)^t \), the part that compares best with the variable \( r \) is \( 0.081 \).

So the answer is \( 0.08 \).