The population of a small town is currently 800 people,

Question

The population of a small town is currently 800 people, and the population is increasing at a rate of 7 percent per year. You want to create a function in the form  to find the population, P, after x years.

What is the value of a, the town's initial population? =

What is the value of b, the growth or decay factor (base)? =

What equation models the town's population after x years?

P =

Answer 1

P = ae^rx = a(e^r)^x

1) a = 800

2) b = e^r = e^0.07=1.072508181

3) P(x) = 800(1.072508181)^x