Question 6 • CMS 2026-2027 NC Math 1 CREDIT RECOVERY
An account is opened with 7,595 point 9 6 dollars with a rate of increase of 2 percent per year. After 1 year, the bank account contains 7,746 point 9 0 dollars Assuming no deposits or withdrawals are made, which equation can be used to find y , the amount of money in the account after x years? (Round money values to the nearest penny.)
Answer
A
y is equal to 7,746 point 9 0 times 0 point 0 2 to the x th power
B
y is equal to 7,746 point 9 0 times 1 point 0 2 to the x th power
C
y is equal to 7,595 point 9 6 times 1 point 0 2 to the x th power
D
y is equal to 7,595 point 9 6 times 0 point 0 2 to the x th power
Explanation
For exponential growth, use y = starting amount × (1 + growth rate)^x. The starting amount is $7,595.96, and the 2% growth factor is 1.02, so the equation is y = 7,595.96 × 1.02^x, choice C. Note that this model gives $7,747.88 after one year, not the stated $7,746.90, so the one-year amount in the question is inconsistent with the stated rate.
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