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a doll sold for $203 in 1976 and was sold again in 1986 for $453. assume that the growth in the value V of the collectors item was exponential. A) find the alue of k of the exponential growth rate. assume V(sub) 0=203 k=?
 Dec 7, 2020
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a doll sold for $203 in 1976 and was sold again in 1986 for $453. assume that the growth in the value V of the collectors item was exponential. A) find the alue of k of the exponential growth rate. assume V(sub) 0=203 k=?

 

1986 - 1976 = 10 years of growth in Value.

 

453 / 203 =2.2315271 - total growth in value over 10 years.

 

(2.2315271)^(1/10) ==1.0835781 - 1  x  100 =8.35781% - annual exponential (compounding) growth over 10 years. If you wish to convert it to continuous growth, just take the natural log(ln) of 1.0835781 =8.02686% .

 Dec 8, 2020

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