EXPONENTIAL MODEL

RECALL:
EXPONENTIAL FUNCTION OR NOT?

1. f ( x) = 3
x
Exponential Function

−4
2. g ( x) = 6  x NOT

3. h ( x ) = −2  1.5 x
Exponential Function

−x
4. k ( x) = 7  2 Exponential Function


5. q ( x) = 5  3 NOT
RECALL:
WRITE THE EXPONENTIAL FUNCTION DESCRIBED BY
THE GIVEN TABLE

x f(x) a=9
-2 1
b=3
-1 3
0 9
f(x)= a  bx
1 27
2 81 f(x)= 9  3x
Discrete Exponential Growth or Decay Model
If a population P is changing at REMARK:
a constant percentage r discretely,
If 𝑟 >0, then D(t) is a
then discrete exponential
D(t ) = P0 (1 + r ) t growth function. Its
growth factor is the
base of the exponential
where function, 1 + 𝑟. On the
D(t) represents the population at other hand, if 𝑟 < 0, then
time t D(t) is called a discrete
P0 is the initial amount or the exponential decay
function. Similarly, its
population at time t decay factor is the base
r is the rate of growth or decay of the exponential
expressed as a decimal function, 1 - 𝑟.
t represents the time
ILLUSTRATIVE EXAMPLES
1. The table below shows the balance in a SOLUTION:
dollar savings account that grows over
time since the initial investment. P0 = 3,500
3,542
1+ r = = 1.012
3,500
r = 0.012 ; t = 12
Create a model that describes the growth of
the investment and determine how much D (t ) = 3,500(1.012) t
savings you would have after 12 months.
D(12) = 3,500(1.012)12

D (t ) = P0 (1 + r ) t
D (12) = $4, 038.63
2. Henry just bought a new Jeep Compass SOLUTION:
for $22,000. Assume the value of the Jeep
depreciates at a rate of 20% per year. A0 = 22,000
r = 20% or 0.20
a) What is the function V(t) model for the
for the value of the jeep in a given
number of t years?
a) V (t ) = A0 (0.80) t

b ) V (1) = 22, 000(0.80)

b) Determine the value of the Jeep
• 1 year from now V (1) = 17, 600
• 5 years from now
The value of the jeep after
1 years is $17,600.00
2. Henry just bought a new Jeep Compass SOLUTION:
for $22,000. Assume the value of the Jeep
depreciates at a rate of 20% per year.
b) V (5) = 22, 000(0.80)5
a) What is the function V(t) model for the
for the value of the jeep in a given
V (5) = 22, 000(0.32768)
number of t years?
V (5) = 7, 208.96
The value of the jeep after
b) Determine the value of the Jeep 5 years is $7,208.96
• 1 year from now
• 5 years from now
3. Suppose you buy a brand-new car from a SOLUTION:
dealership for ₱824,000. The value of a car t
decreases over time according to an
1 h
exponential decay function. The half-life of A(t ) = A0  
this car, or the time it takes for the car to 2 3
depreciate 50%, is approximately 3 years.
1 3
The exponential decay is described by A(3) = 824, 000  
t
2
1 h
A(t ) = A0   1
2 A(3) = 824, 000  
where A0 is the amount, the car is worth
2
when new (that is, when t = 0), A is the A(3) = 412, 000
amount the car is worth after t years, and h
is the half-life in years. The worth of the car
after 3 years is
How much is the car worth after 3 years?
₱412,000.00
6 years? 12 years? 24 years?
3. Suppose you buy a brand-new car from a SOLUTION:
dealership for ₱824,000. The value of a car t
decreases over time according to an
1 h
exponential decay function. The half-life of A(t ) = A0  
this car, or the time it takes for the car to 2 6
depreciate 50%, is approximately 3 years.
1 3
The exponential decay is described by A(6) = 824, 000  
t
2
1 h
A(t ) = A0  
2
1
2 A(6) = 824, 000  
where A0 is the amount, the car is worth
2
when new (that is, when t = 0), A is the A(6) = 206, 000
amount the car is worth after t years, and h
is the half-life in years. The worth of the car
How much is the car worth after 3 years? after 6 years is
6 years? 12 years? 24 years? ₱206,000.00
3. Suppose you buy a brand-new car from a SOLUTION:
dealership for ₱824,000. The value of a car t
decreases over time according to an
1 h
exponential decay function. The half-life of A(t ) = A0  
this car, or the time it takes for the car to 2 12
depreciate 50%, is approximately 3 years.
1 3
The exponential decay is described by A(12) = 824, 000  
t
2
1 h
A(t ) = A0   1
4

2 A(12) = 824, 000  

where A0 is the amount, the car is worth 2
when new (that is, when t = 0), A is the A(12) = 51,500
amount the car is worth after t years, and h
is the half-life in years. The worth of the car
after 12 years is
How much is the car worth after 3 years?
₱51,500.00
6 years? 12 years? 24 years?
3. Suppose you buy a brand-new car from a SOLUTION:
dealership for ₱824,000. The value of a car t
decreases over time according to an
1 h
exponential decay function. The half-life of A(t ) = A0  
this car, or the time it takes for the car to 2 24
depreciate 50%, is approximately 3 years.
1 3
The exponential decay is described by A(24) = 824, 000  
t
2
1 h
A(t ) = A0  
8
1
2 A(24) = 824, 000  
where A0 is the amount, the car is worth
2
when new (that is, when t = 0), A is the
A(24) = 3, 218.75
amount the car is worth after t years, and h
is the half-life in years. The worth of the car
How much is the car worth after 3 years? after 24 years is
6 years? 12 years? 24 years? ₱3,218.75
4. The accumulated amount, A, in a SOLUTION:
compound interest account can be
determined using the formula nt
 r
nt A(t ) = P0 1 + 
 r  n
A(t ) = P0 1 + 
 n  0.025 
4(3)

where P0 is the principal or the initial A(t ) = 5, 000 1 + 

investment amount, r is the interest rate as a  4 
decimal, n is the number of compounding
A(t ) = 5, 000 (1.00625 )
12
periods per year, and t is the time in years.
If you invest ₱5,000 in a certificate of deposit A(t ) = 5,388.16
(CD) with 2.5% interest compounded
quarterly for 3 years. Determine the value of The value of the CD after
the CD after 3 years. 3 years is ₱5,388.16
5. Carbon 14 dating is used by scientists to SOLUTION:
determine the age of fossils and artifacts.
The formula used in carbon dating is − t /5700
− t /5700
A = A0  2
A = A0  2 −2000/5700
A = 500  2
where A0 represents the amount of carbon
14 present when the fossil was formed, and A = 500(0.7841)
A represents the amount of carbon 14
present after t years. A = 392.05
If 500 grams of carbon 14 were present
when an organism died, how many grams 392.05 g of carbon 14
will remain in the fossil 2 000 years later? will remain in the fossil
after 2,000 years
Continuous Exponential Growth or Decay Model
The exponential model represented by
the function REMARK:
C (t ) = P0 e rt
Given that P0 is a
positive constant,
describes continuous growing when r > 0 then C is
or decaying processes regarded as a
continuous
where exponential growth
C(t) represents the population at time t function; when r < 0,
P0 is a positive constant representing C is regarded as a
continuous
the population at t = 0 exponential decay
r is another constant that represents function.
the rate of growth
t represents the time
e is the natural number (Euler’s Number: e = 2.718281828… ).
ILLUSTRATIVE EXAMPLES
6. If ₱5000 is deposited in an account paying SOLUTION:
6% compounded continuously, how much
will be in the account in 4 years?
A = P0  e rt
P0 = 5,000
r = 6% or 0.06 A = 5,000  e 0.06(4)

t = 4 years A = 6,356.25
There will be
₱6,356.25 in the
account after 4 years
7. The projected population C(t) of Sokovia is SOLUTION:
given by the equation C(t) = 100e0.05t, where
t is the number of years after 2010. a. C (t ) = 100e 0.05t

C (t ) = 100e0.05t C (20) = 100e 0.05(20)

a) Give an estimate (in the nearest digit) of

the population in 2030 using the C (20)  271
exponential model shown above.
t = 2030 − 2010 There will be
t = 20 years approximately 271
individuals after 2010
7. The projected population C(t) of Sokovia is SOLUTION:
given by the equation C(t) = 100e0.05t, where
t is the number of years after 2010. b. Plot the graphs of
C(t) = 400 and
C (t ) = 100e0.05t C(t) = 100e0.05t
b) Using a graphing calculator, determine
the number of years when the population
will be 400.

Note that the intersection is the point

(27.726, 400). This means that it will take
approximately 27.726 years for Sokovia’s
population to become 400.
8. A colony of bacteria increases according to SOLUTION:
the law of uninhibited growth. If the initial
population of bacteria in a petri dish is
2,200, and the colony grows at a rate of
a. P0 = 2, 200
3.25% per hour. The next observed A = 3,500
population of the colony of bacteria was
3,500. How many hours passed between r = 3.25%
observations?
A = P0  e rt

Substituting the given:

3,500 = 2, 200  e 0.0325t

t = 14.29 hours
Approximately 14.29
hours have passed
9. How much money would you need to SOLUTION:
invest now in an account that gives 3%
interest compounded continuously if
you want to earn $10,000 in this A = P0  e rt

account in 5 years?
10,000 = P0  e 0.03(5)

A = 10,000
10,000
r = 3% or 0.03 0.03(5)
= P0
t = 5 years e
P0 = ? P0 = 8,607.07976
$8607.08 should be
invested to earn $10,000
in 5 years.
10. A colony of bacteria increases according to SOLUTION:
the law of uninhibited growth.
a) If N is the number of cells, r is the rate a.
and t is the time in hours, express N as a N (t ) = N 0e rt

function of t.
The number N of cells at
(b) If the number of bacteria doubles in 3 time t is
hours, find the function that gives the N(t) = N0 ert
number of cells in the culture. where N0 is the initial
number of bacteria
present, and r is the rate
(positive real number).
10. A colony of bacteria increases according to SOLUTION:
the law of uninhibited growth.
a) If N is the number of cells, r is the rate b. First, find the growth
and t is the time in hours, express N as a rate r . note that the
function of t. number of cells
doubles in 3 hours,
(b) If the number of bacteria doubles in 3 so
hours, find the function that gives the N(3) = 2N0
number of cells in the culture. Since
N(t) = N0ert
and
N(3) = N0er(3)
Then,
N0er(3) = 2N0
10. A colony of bacteria increases according to SOLUTION:
the law of uninhibited growth.
b) If the number of bacteria doubles in 3 b. Solving for r:
hours, find the function that gives the e3r = 2
number of cells in the culture. 3r = ln 2
3 3
r ≈ 0.23105

The rate is 23.105% so the

function is

N (t ) = N 0e 0.23105t