Question

exponential decay functions
hal is asked to write an exponential function to represent the value of a $110,000 investment decreasing at 2% annually. what multiplicative rate of change should hal use in his function?
0.98
1.02
1.98
0.02

Explanation:

Step1: Understand decay rate conversion

For exponential decay, the growth factor is calculated by subtracting the decay rate (in decimal) from 1. First, convert 2% to decimal: $2\% = 0.02$.

Step2: Calculate the growth factor

Subtract the decimal decay rate from 1.
$1 - 0.02 = 0.98$

Answer:

0.98