Need help with some math asap! Thank you!

Question

A small company is going to pay for advertising on a search engine. For every click on their ad they need to pay 4 cents. The company is expecting a 5% daily growth rate in terms of web site visits. There were 50 web site visits the day before the advertising started. (10 points each)

1. What is the growth factor for the number of clicks per day?

2. Write a function for the number of clicks as a function of days.

3. If the growth model applies to 100 days, how many clicks should they expect on day 100?

Answer 1

Kaleb

I will model this for you assuming 6% growth rate, and 60 web site visits before ads. Then you can follow my model using your numbers

1. Growth rate = 6% = 0.06 (6/100). so growth factor = 1 + 0.06 = 1.06
2. At time zero, 60. After 1 day, 60 x 1.06, after 2 days 60 x 1.06 x 1.06 etc , so after n days, 60 x 1.06ⁿ
3. We just put n=100, so 60 x 1.06¹⁰⁰ = 20358 clicks

Mike