1 / 5

Exponential Growth & Decay

Exponential Growth & Decay. Lesson 8.7. Growth: goes up in value, use this formula! y = c(1+r) t 1+r>1 Decay: goes down in value, use this formula! y = c(1- r) t 1- r <1. Example:

ashlyn
Download Presentation

Exponential Growth & Decay

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript


  1. Exponential Growth & Decay Lesson 8.7

  2. Growth: goes up in value, use this formula! y = c(1+r)t 1+r>1 Decay: goes down in value, use this formula! y = c(1- r)t 1- r <1

  3. Example: You buy a new 10 speed bike for $150. It loses value at a rate of 15% per year. What is it’s worth in 3 years? Worth = cost(rate)years w = c(1-0.15)3 (a loss means –15%) w = 150(.85)3 w = 92.12 The bike was only worth $92.12 in 3 years.

  4. Identify the following as growth or decay • y = 500(1.20)5 • y = 375(.078)t • y = 5(1.078)6 • y = 30(.99)4

  5. Write a general equation for the following • You purchased a car for $35,000. The minute you drove it off the lot it started going down in value by 1.3%. Write an equation for its value in the future. • You just purchased a painting as an investment and it is suppose to appreciate it value at a rate of 3.65% each year. Write an equation for its value in the future. V = 35,000(0.987)t V = P(1.0365)t

More Related