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Compound and Exponential Functions Growth and Decay

Total questions: 12

Worksheet time: 6mins

Name
Class
Date
1.

Write the percent .5% as a decimal.

a)

.05

b)

5.00

c)

.005

d)

.0005

2.

A population of fish starts at 8,000 and decreases by 6% per year. What is the approximate population of fish after 10 years?

a)

839

b)

4309

c)

14327

d)

7680

3.

Interest "compounded quarterly" is compounded is to divide by?

a)

12

b)

4

c)

10

d)

8

4.

You invest $400 at an interest rate of 4.29% that compounds monthly. Which equation models this?

a)

y=400(1+ 4.29)^t/12

b)

y=400(1+.0429/12)^12t

c)

y=400e0.049*5

d)

y=400(1 - 0.0429)^t

5.

Classify the model as Exponential GROWTH or DECAY.

A=10(1.01)3

a)

Growth

b)

Decay

6.

Kennedy won $3,000 from a radio contest. If she puts this money in a bank account that earns 2.9% interest compounded quarterly, what is an equation to model this?

a)

f(x) = 3000(1.029)^4t

b)

f(x) = 3000(1.29)^t

c)

f(x) = 3000(1.029/4)^4t

d)

f(x) = 3000(.971)^4t

7.

Principal: $5000

Interest Rate: 3.75%

Time: 25 years

Compounded Monthly

State the future account balance.

a)

$12,657.59

b)

$12712.31

c)

$12,749.30

d)

$12550.84

8.

The Arnold's took out a loan for $195,000 to purchase a home. At 4.3% interest rate compounded annually, how much will they have paid after 30 years?

a)

$412,749.79

b)

$689,546.99

c)

$529.305.61

d)

$640,891.53

9.

Your shiny new boat cost $7650. The depreciation for your boat is 14% per year. Estimate the value of your vehicle in 3 years. What is the equation that models this problem?

a)

y= 7650(.86)3

b)

y= 7650(.14)3

c)

y= 7650(1+.86/3)1

d)

y= 7650(3)14

10.

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?

a)

$16,710.94

b)

$23,219.72

c)

$136.72

d)

$51,710.94

11.

Which formula should be used whem computing a compound continuously exponential problem

a)

A = P (1 + r) t

b)

A= Pert

c)

A = PxRxT

d)

A = eprt

12.

If $1,000 is invested at 16% interest, compounded continuously, for five years, what is the ending balance?

a)

$2,225.54

b)

$1,225.54

c)

$22,255.40

d)

$3,225.54