Question

P(t) = 1400(1.039)ᵗ

Find the initial price of the item.does the function represent growth or decay?by the percent does the price change each year?

Answer 1

The initial price of the item is $1400, the function represents growth, and the price increases by 3.9% each year.

Step-by-step explanation:

The initial price of the item in the function p(t) = 1400(1.039)ᵣ is given by the term outside the parentheses, which is $1400. This function represents growth because the base of the exponential term, 1.039, is greater than 1, indicating that the price is increasing over time. To find the percentage change each year, we subtract 1 from the base of the exponent and then convert it to a percentage. In this case, it is 1.039 - 1 = 0.039, or 3.9% annual increase in price.