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kogti [31]
3 years ago
14

Given an exponential function for compounding interest, A(x) = P(.91)^x, what is the rate of change?

Mathematics
2 answers:
PilotLPTM [1.2K]3 years ago
8 0

Answer:

Option B = -9%

Step-by-step explanation:

Given : Given an exponential function for compounding interest, A(x) = P(.91)^x

To find : What is the rate of change?  

Solution :

The general form of the exponential function is f(x)=a(1+r)^x

Where,

r is the rate of change

if r> 1 then it is growth rate    

if r< 1 then it is decay rate.

Comparing given function with exponential function,

A(x) = P(.91)^x

1+r=0.91

r=0.91-1

r=−0.09

It is a decay rate.

Convert into percentage, multiply with 100

-0.09\times 100=-9\%

Therefore, Option B is correct.

The rate of change is -9%.      

Marina CMI [18]3 years ago
7 0

The confirmed correct answer is -9%. Trust me.

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