Question

Write an exponential growth function to model each situation,

15. Initial value: 20
Growth factor: 1.25

Answer 1

Answer: f(x)=20(1.0125)^t

Explanation:

use the formula P(1+r)^t when considering exponential growth (make it 1-r if decay)

P - principal (initial) value

r - growth rate (as a decimal! so divide by 100)

t - time (can be years, months, days, etc)

so now that we know the formula, just plug in everything you know!

P=20, r=0.0125, t=x

so the function is

20(1+0.0125)^t or 20(1.0125)^t

since we dont have a defined time, that becomes the variable for x, the one we can manipulate, so if they ask for 10 years, just replace t with 10!