Question

Given the following exponential function, identify whether the change represents growth or decay, and determine the percentage rate of increase or decrease.
y, equals, 8100, left parenthesis, 0, point, 9, 7, right parenthesis, to the power x
y=8100(0.97)
x

Answer 1

The base 0.97 is less than 1, so this is exponential decay. The factor 0.97 = 1 − 0.03 corresponds to a 3% decrease per unit increase in x (initial value y(0) = 8100).