Continuous Growth and Decay Word Problems

What is the formula for exponential growth?

What is the formula for exponential decay?

• Initial amount

• Rate of growth or decay

• Time

• End amount

• Initial amount

• Rate of growth or decay

• Time

• End amount

• Initial amount

• Rate of growth or decay

• Time

• End amount

• Initial amount

• Rate of growth or decay

• Time

• End amount

Convert the percent to a decimal. Remember: move the decimal two places to the left!

3.5%=

• .35

• 3.5

• .035

• .0035

Convert the percent to a decimal:

27%=

• 2.7

• .27

• 270

• .027

Annual sales for a fast food restaurant are $650,000 and are increasing at a rate of 4% per year. Use an exponential function to find the annual sales after 7 years.

Round to two decimal places (like dollars and cents).

The population of a town is 2500 and is decreasing at a rate of 3.5% per year. Use an exponential function to find the population of the town after 5 years.

Round to the nearest whole number (you can't have a fraction of a person).