Question

hal is asked to write an exponential function to represent the value of a $10,000 investment decreasing at 2% annually. what multiplicative rate of change should hal use in his function? 1.02 1.98 0.98 0.02

Explanation:

Step1: Convert decay rate to decimal

$2\% = \frac{2}{100} = 0.02$

Step2: Calculate multiplicative decay factor

$1 - 0.02 = 0.98$

Answer:

0.98