Final answer:
The new function f(x) = 5(2^x) + 2 undergoes two transformations: a vertical stretch by a factor of 5 and a vertical shift upwards by 2 units, making option (a) the correct answer.
Step-by-step explanation:
When transforming the function y = 2^x to f(x) = 5(2^x) + 2, there are two separate transformations that occur:
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Option (a) is the correct answer. The function is shifted 2 units up and vertically stretched by a factor of 5.