Write an equation to model growth or decay in the following scenario. A stock is declining at a rate of 25% of its value every 2 weeks. The stock started at $225. Let a represent the number of weeks. Let y represent the value of the stock in dollars.

Respuesta :

The exponential function that models this situation is:

[tex]y(t) = 225(0.75)^{\frac{t}{2}}[/tex]

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A decaying exponential function has the following format:

[tex]y(t) = y(0)(1 - r)^t[/tex]

In which:

  • y(0) is the initial value.
  • r is the decay rate, as a decimal.

In this problem:

  • The stock started at $225, thus [tex]y(0) = 225[/tex].
  • Declines at a rate of 25% every 2 weeks, thus [tex]r = 0.25, t = \frac{t}{2}[/tex]

The equation is:

[tex]y(t) = y(0)(1 - r)^t[/tex]

[tex]y(t) = 225(1 - 0.25)^{\frac{t}{2}}[/tex]

[tex]y(t) = 225(0.75)^{\frac{t}{2}}[/tex]

A similar problem is given at https://brainly.com/question/24282972