hal is asked to write an exponential function to represent the value of a $10,000 investment decreasing at…

hal is asked to write an exponential function to represent the value of a $10,000 investment decreasing at 2% annually. what multiplicative rate of change should hal use in his function?\n0.02\n0.98\n1.02\n1.98

hal is asked to write an exponential function to represent the value of a $10,000 investment decreasing at 2% annually. what multiplicative rate of change should hal use in his function?\n0.02\n0.98\n1.02\n1.98

Answer

Explanation:

Step1: Understand the concept

When there is a decrease of $r%$, the multiplicative rate of change $b$ is given by $b = 1 - r$. Here $r = 2%=0.02$.

Step2: Calculate the rate

Substitute $r = 0.02$ into the formula $b = 1 - r$. So $b=1 - 0.02=0.98$.

Answer:

B. 0.98