A deposit off 2,000 earns 3.5% annual, which function models this situation?

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Compound interest is found by using the formula `V = p(1 + r)^t.`

V represents future value, p represents principal, r represents annual rate, and t represents time in years.

A deposit of $2000 that earns 3.5% annual interest after t years would  yield an equation of `V = 2000 (1.035) ^t` where t represents time in years of which principal is placed into this account with a rate of 3.5%.

The formula is `V = 2000 (1.035) ^t.`

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A deposit of 2,000 earns 3.5% every year.

The function modeling this situation is A = 2000*(1 + 0.035)^n where A is what 2000 has increased to after n years.

The compound interest formula A = 2000*1.035^n represents the given situation.

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