Question

Item 12

POSSIBLE POINTS: 5
Given the equation y=25(1.025)x
y
=
25
(
1.025
)
x
, at what percentage rate is the exponential function decreasing or increasing?

Decreasing by 2.5%

Increasing by 2.5%

Increasing by 25%

Increasing by 10.25%

Answer 1

y=25(1.025)^x

Rate: r=1.025-1
r=0.025>0 (positive), then the function is increasing
r=0.025*100%
r=2.5%

Answer: Second option: Increasing by 2.5%