Question

Bob opened a new furniture store, and his daily sales are modeled by f(x) = 1000(1.15)x. Determine the rate of growth.

Answer 1

The answer is 115% because to get a decimal you have divide the number by 100 so that’s how you got 1.15 and if you multiply 1.15 by 100 you get 115

Answer 2

Answer: 15%

Step-by-step explanation:

We know that the exponential growth equation is given by :-

$y=A(1+r)^x$, where A is the initial amount , r is the rate of growth and t is the time period.   (1)

Given : Bob opened a new furniture store, and his daily sales are modeled by $f(x) = 1000(1.15)x$   (2)

Comparing (1) and (2), we get

$1+r = 1.15$

Subtract 1 from both sides , we get

$r=0.15$

In percent , $r=0.15\times100=15\%$

Hence, the rate of growth. = 15%