Scribd
Upload
490 views

Exponential Functions - Logarithmic Functions - Compound Interest

Gen. Math

Uploaded by

Jessa Lou Liba Capapas
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPT, PDF, TXT or read online on Scribd
490 views

Exponential Functions - Logarithmic Functions - Compound Interest

Gen. Math

Uploaded by

Jessa Lou Liba Capapas
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPT, PDF, TXT or read online on Scribd
You are on page 1/ 23

Exponential and Logarithmic Functions

• Exponential Functions
• Logarithmic Functions
• Compound Interest

Copyright © 2006 Brooks/Cole, a division of Thomson Learning, Inc.


Exponential Function
An exponential function with base b and exponent x
is defined by
f ( x)  b x b  0, b  1

Ex. f ( x)  3x y y  f ( x)
x y Domain: All reals
1 1
Range: y > 0
3
0 1 (0,1)
x
1 3
2 9
Laws of Exponents
Law Example

1. b x  b y  b x  y 2 2  2  2  8
1/ 2 5/ 2 6/ 2 3

bx x y 12
2. y  b 5
5123
59
b 5 3

  8 
y 6 1
6 / 3 2
3. b x
b xy 1/ 3
8 8 
64
4.  ab   a b  2m 
x 3
x x
 2 m  8m
3 3 3

x 1/ 3
a a x
 8  81/ 3 2
5.    x    1/ 3 
b b  27  27 3
Properties of the Exponential
Function
y  f ( x)  b x
 b  0, b  1
1. The domain is  ,  .
2. The range is (0,  ).
3. It passes through (0, 1).
4. It is continuous everywhere.
5. If b > 1 it is increasing on  ,   .
If b < 1 it is decreasing on  ,   .
Examples
Ex. Simplify the expression

3x y 
4
2 1/ 2
34 x8 y 2 81x5
 3 7  5
x3 y 7 x y y

Ex. Solve the equation 43 x 1  24 x 2


23 x1 4 x 2
2 2
26 x  2  2 4 x  2
6x  2  4x  2
2 x  4
x  2
Logarithms
The logarithm of x to the base b is defined by

y  logb x if and only if x  b y  x  0


Ex. log 3 81  4; 34  81 
log 7 1  0; 7 0

1
  1 -2 
log1/ 3 9  2;     81
 3  
 
log 5 5  1;  51  5 
Examples
Ex. Solve each equation
a. log 2 x  5
x  25  32
b. log 27 3  x
3  27 x

3  33 x
1  3x  am  an  m  n 
1
x
3
Laws of Logarithms
1. l og b mn  logb m  logb n
m
2. logb    logb m  logb n
n
3. logb m n  n logb m
4. logb 1  0
5. logb b  1

Common Logarithm log x  log10 x


Notation: Natural Logarithm ln x  log e x
Example
Use the laws of logarithms to simplify the
expression: 7
25 x y
log5
z

 log5 25  log5 x7  log5 y  log5 z1/ 2


1
 2  7 log 5 x  log5 y  log5 z
2
For x  0 and 0  a  1,
y = loga x if and only if x = a y.
The function given by f (x) = loga x is called the
logarithmic function with base a.
Every logarithmic equation has an equivalent exponential
form:
y = loga x is equivalent to x = a y
A logarithm is an exponent!
A logarithmic function is the inverse function of an
exponential function.
Exponential function: y = ax
Logarithmic function: y = logax is equivalent to x = ay
10
Examples: Write the equivalent exponential equation
and solve for y.

Logarithmic Equivalent Solution


Equation Exponential
Equation

y = log216 16 = 2y 16 = 24  y = 4
1 1 1
y = log2( ) = 2y = 2-1 y = –1
2 2 2
y = log416 16 = 4y 16 = 42  y = 2
y = log51 1=5y 1 = 50  y = 0

11
Logarithmic Function
The logarithmic function of x to the base b is
defined by
f ( x)  logb x b  0, b  1
Properties:
1. Domain: (0,  )
2. Range:  ,  
3. x-intercept: (1, 0)
4. Continuous on (0,)
5. Increasing on (0, ) if b > 1
Decreasing on (0,  ) if b < 1
Graphs of Logarithmic Functions

Ex. f ( x)  log3 x f ( x)  log1/ 3 x


x
y3 x
1 y
y y  
 3
(0, 1) (0, 1)

(1,0)
x (1,0)
x
y  log3 x y  log1/ 3 x
x
e and ln x
e ln x
x  x  0
ln e  x x
 for any real number x 
1 2 x 1
Ex. Solve e  10
3
e2 x1  30
2 x  1  ln(30) Apply ln to both sides.

ln(30)  1
x  1.2
2
Example
A normal child’s systolic blood pressure may be
approximated by the function p( x)  m(ln x)  b
where p(x) is measured in millimeters of mercury, x is
measured in pounds, and m and b are constants. Given
that m = 19.4 and b = 18, determine the systolic blood
pressure of a child who weighs 92 lb.

Since m  19.4, x  92, and b  18


we have p(92)  19.4(ln 92)  18
 105.72
Compound Interest Formula
mt
 r
A  P 1  
 m
A = The accumulated amount after mt periods
P = Principal
r = Nominal interest rate per year
m = Number of periods/year
t = Number of years
Example
Find the accumulated amount of money after 5
years if $4300 is invested at 6% per year
compounded quarterly.
mt
 r
A  P 1  
 m
4(5)
 .06 
A  4300 1  
 4 

= $5791.48
Example
How long will it take an investment of $10,000 to
grow to $15,000 if it earns an interest at the rate of
12% / year compounded quarterly?
mt 4t
 r   0.12 
A  P 1    15, 000  10, 000 1   
 m  4 
1.5  1.03  ln(1.03) 4t  ln1.5
4t
Taking ln both sides

4t ln1.03  ln1.5 logb m n  n logb m


ln1.5
t  3.43 years
4 ln1.03
Effective Rate of Interest
m
 r
reff  1    1
 m
reff = Effective rate of interest
r = Nominal interest rate/year
m = number of conversion periods/year
Ex. Find the effective rate of interest corresponding to
a nominal rate of 6.5% per year, compounded monthly.
m 12
 r  .065 
reff  1    1  1    1  .06697
 m  12 
It is about 6.7% per year.
Present Value Formula for
Compound Interest
 mt
 r
P  A 1  
 m
A = The accumulated amount after mt periods
P = Principal
r = Nominal interest rate/year
m = Number of periods/year
t = Number of years
Example
Find the present value of $4800 due in 6 years
at an interest rate of 9% per year compounded
monthly.
 mt
 r
P  A 1  
 m
12(6)
 .09 
P  4800 1  
 12 

 $2802.83
Continuous Compound Interest
Formula

A  Pe rt

A = The accumulated amount after t years


P = Principal
r = Nominal interest rate per year
t = Number of years
Example
Find the accumulated amount of money after
25 years if $7500 is invested at 12% per year
compounded continuously.

A  Pe rt

A  7500e 0.12(25)

 $150, 641.53

You might also like