Question

The projected value (in millions of dollars) of a large manufacturing company is modeled by the function V(t) - 230(1.12)', where
V(t) is the value of the company t years after 2018. What does 230 represent in the function?
A)
The growth factor of the company.
The value of the company in 2018.
The projected value of the company
The value of the company after t years.

Answer 1

Answer:

The value of the company in 2018

Step-by-step explanation:

we know that

The equation of a exponential growth function is equal to

$V(t)=a(1+r)^t$

where

V(t) is the value of the company

t is the number of years after 2018

a is the initial value or y-intercept

r is the rate of change

we have

$a=230\\1+r=1.12\\r=1.12-1\\r=0.12\\r=12\%$

so

230 is the value of the company when the value of t is equal to zero

Remember that

t is the number of years since 2018

therefore

230 is the  value of the company in 2018