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Step-by-step explanation:

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A)
for option 1, the type of function is linear because the series of interest earned increases arithmetically in $110 per year.
for option 2, the type of function is exponential because the series of interest earned increases geometrically in $1.09 per year.

b)
the option 1 refers to a simple interest with a function: f(n) = $1000 + $100n
the option 2 refers to a compound interest with a function: f(n) = $1000  * (1.09) ⁿ
c)
after 20 years, she would get:
in option 1, f(20) = $1000 + $110*20 = $3200
in option 2, f(20) = $1000 * (1.09)² ⁰ = $5604.41
there is a significant difference between these options because the interest earned (through compound interest) accrues on the principal amount and the accumulated interest of previous periods.