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Bank 1.05 A2: Sally opened a new flower shop, and her daily sales are modeled by f(x) = 2(1.45)^x. Determine the rate of growth.

*
2%
145%
55%
45%

User Mike Finch
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Final answer:

The rate of growth for Sally's flower shop sales is 45%, which is determined by the base (1.45) of the exponential function in the sales model.

Step-by-step explanation:

The rate of growth in Sally's flower shop sales, represented by the function f(x) = 2(1.45)^x, is found by examining the base of the exponential function.

The base, 1.45, indicates that for each increase of one in the variable x, the function's value multiplies by 1.45. As such, the rate of growth is 45%.

To understand this concept, consider an example related to a bank account accumulating interest.

If a bank account has a 2% annual interest rate, then after one year, the amount in the account is 1.02 times the original amount.

This pattern continues as the interest compounds.

User Kavindu Vindika
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