Exponential Growth and Decay

Daniel’s Print Shop purchased a new printer for $35,000. Each year it depreciates at a rate of 5%. How much will the printer be worth in 8 years?

• $23,219.72
• $136.72
• $51,710.94
• $16,710.94

Twenty years ago, Mr. Davis purchased his home for $160,000. Since then, the value of the home has increased about 5% per year. How much is the home worth today?

• $176,783.29
• $424,527.63
• $57,357.75
• $532,041,076.80

What is the initial value for the function: f(x) = 300(1.16)^x?

• 300

• 1.16

• .16

• x

The original value of a painting is $1400, and the value increases by 9% each year. Write an exponential growth function to model this situation.

• y=1400(1.09)^x
• y=1.09(1400)^x
• y=1400(.91)^x
• y=1.09^x

Which of the following functions shows an initial amount of $15 and an increase of 35% each year?

• y = 15(35)^x
• y = 15(1.35)^x
• y = 15(0.35)^x
• y = 35(1.15)^x

Classify the model as Exponential GROWTH or DECAY.
A=1200(.85)⁶

• Growth
• Decay

What is the Exponential equation?

In the exponential function, what does a represent?

• growth factor

• decay factor

• initial value

• exponent

In the exponential function, what does b represent?

• growth/decay factor

• initial value

• number of times something occurs

• function

What is the balance of $6000 compounded annually at a rate of 4% for 10 years?

• $8,881.47
• $7,432.93
• $8,400
• $6,500