Final answer:
The graph of the function is horizontally compressed and vertically translated downward.
Step-by-step explanation:
The graph of the function f(x) = x^2 is a parabola that opens upward. When this function is transformed to h(x) = (1/8)x^2 - 13, the graph is horizontally compressed and vertically translated downward.
The horizontal compression is caused by the coefficient (1/8) in front of the x^2 term. The value of x is multiplied by 1/8, which makes the parabola narrower. The vertical translation downward is caused by the constant term -13, which shifts the entire graph downward by 13 units.