Answer:
Where Y(t) represent the average annual per capita health care costs
475 represent the initial amount for the average annual per capita health care costs
t represent the number of years since 1970
And 1.076 represent the growth factor given by:
And solving for r we got:
So for this case we can say that the value 1.076 represent the growth factor.
Step-by-step explanation:
For this case we have the following model given:
Where Y(t) represent the average annual per capita health care costs
475 represent the initial amount for the average annual per capita health care costs
t represent the number of years since 1970
And 1.076 represent the growth factor given by:
And solving for r we got:
So for this case we can say that the value 1.076 represent the growth factor.