Question: The following data represent the amount of money that Ivan, an investor, has in an investment account each year for 10 years. He wishes to determine the effective rate of return of his investment.

After getting some experience modeling exponential and logarithmic data, now it's your turn to find out whether these data are best represented by exponential or a logarithmic function. Note: Use year 1985 as the beginning of time (start with t = 1 to represent year 1985, t=2 for 1986 etc.)

a. Determine the exponential function of best fit. Write this function and its corresponding r value.

b. Determine the logarithmic function of beat fit. Write this function and its corresponding r value.

c. Determine which of the two models is the best fit to these data. Explain your selection and how good the fit is.

d. Use the best fit function from part c to project what the value of the account will be in the year 2010.

e. Ivan wants to withdraw his investment once it reaches $25,000. Approximate the year this might happen.