The situation described is modeled by an exponential function. The price of rice increases by a constant percentage (3%) each year, which is characteristic of exponential growth. Therefore, the correct answer is:
D. an exponential function
Inflation has caused the price of a 50-pound bag of rice to rise in a certain country, as shown in the table.
Year Price of a 50-Pound Bag of Rice in U.S. Dollars
2002 20.00
2003 20.00 times 1.03 equals 20.60
2004 20.60 times 1.03 equals 21.22
2005 21.22 times 1.03 equals 21.86
2006 21.86 times 1.03 equals 22.52
2007 22.52 times 1.03 equals 23.20
2008 23.20 times 1.03 equals 23.90
Question
What type of function models the situation?
Answer options with 4 options
A.
a cubic function
B.
a linear function
C.
a quadratic function
D.
an exponential function
1 answer