Question

A) Write the exponential equation to represent a house purchased for

Answer 1

Answer:

= A(t) = 120000(1.06)^t   t = 1 year

We just add ^12 to equal 1/12 months.

Then use the notation below.

Step-by-step explanation:

We simply want to write an equivalent form of the same equation that will allow for the time period to be calculated in years.

For one year, t = 1, we want it to grow 6% = 1.06

Yearly Rate of Growth annual equation: = 7200

P(i) 7200/ 120000 x 100% = 6% per year growth rate

the yearly growth factor is 1 + appreciation rate = 1+i =1+0.06= 1.06

So time in years can be added to t

= A(t) = 120000(1.06)^t   t = 1 year

The yearly growth factor = 1.06

To equate monthly we add the exponent  t*12*1/12 before  120000(1.06)^t

then add 1/12 to replace ^t = monthly, or just keep the t= time

A(t) = 120000(1.06)^12t