If A₀ is the initial amount deposited into a savings account that earns at a fixed rate of r percent per year, and a constant amount of 12b is added to he account each year, then amount A_n of the savings n years after the initial deposit is made is given by the equation

What is A₃, the amount you have in the savings three years after you made the initial deposit, if r = 5, A₀ = 12,000, and b = 400?

A) $23,070.00
B) $26,048.00
C) $29,023.50
D) $35,274.68

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A = (1+ 100 · An-1 +126.