### Home > INT2 > Chapter 12 > Lesson 12.1.2 > Problem12-27

12-27.

Write a scenario that could be described by each exponential function below. Make sure to define the variables and indicate whether the situation involves growth or decay.

1. $y = 2000(1.04)^{x/12}$

Answers vary, but one possible scenario could be: The amount of money, $y$, in an account after $x$ years if the starting balance is $2000$ and the monthly interest is $4\%$ exponential growth.

2. $y = 25{,}000(1 - 0.17)^x$