Question

Suppose that the future price P_t of a certain item is given by the following exponential function. In this function, P_t is measured in dollars, and t is the number of years from today. P_t =1500×1.056^t.

Answer 1

The subject of this question is Mathematics. The question involves evaluating future prices of a certain item using an exponential function.

Step-by-step explanation:

The subject of this question is Mathematics. The question involves evaluating future prices of a certain item using an exponential function.

The function, P_t = 1500 × 1.056^t, represents the future price in dollars (P_t) given the number of years from today (t). The base of the exponential function, 1.056, represents the growth rate of the item's price.

For example, if t = 1, the future price (P_t) would be 1500 × 1.056^1 = 1584 dollars. If t = 2, the future price would be 1500 × 1.056^2 = 1677.86 dollars.