Answer: y = 1600(1.0325)^t
Step-by-step explanation:
We would apply the formula for determining compound interest which is expressed as
y = P(1+r/n)^nt
Where
A = total amount in the account at the end of t years
r represents the interest rate.
n represents the periodic interval at which it was compounded.
P represents the principal or initial amount deposited
From the information given,
P = $1600
r = 3.25% = 3.25/100 = 0.0325
n = 1 because it was compounded once in a year.
Therefore, the exponential function showing the relationship between y and t is
y = 1600(1 + 0.0325/1)^ 1 × t
y = 1600(1.0325)^t
