### Home > INT1 > Chapter 9 > Lesson 9.3.2 > Problem9-84

9-84.

Write an exponential equation to represent the situation and answer the question.

If the cost of a loaf of bread is now $$2.75$ and is increasing at $5$% per year, what will it cost $10$ years from now? The independent variable ($x$) is time, and the dependent variable (y) is cost. Remember $y = ab^{x}$. In $10$ years the bread will cost$$4.48$.

You have a point $(0, 2.75)$ because time is now and cost is \$$2.75$. You also have the multiplier because the increase is $1.05$ ($5$% increase).