Below are two situations that can be described using exponential functions. They represent a small sample of the situations where quantities grow or decay by a constant percentage over equal periods of time. For each situation:
What is an appropriate unit of time (such as days, weeks, years)?
What is the multiplier that should be used?
What is the initial value?
Write the equation of an exponential function that represents the situation.
A house purchased for
has an annual appreciation of .
Time is in years.
The multiplier is
The number of bacteria present in a colony is
at noon, and it increases at a rate of per hour.
Use the same method as (a).