The expression

1350

(

1.05

)

t

1350(1.05)

t

1350, left parenthesis, 1, point, 05, right parenthesis, start superscript, t, end superscript models the average wages, in dollars, in the US as a function of the number of years since

1930

19301930.

What does

1.05

1.051, point, 05 represent in this expression?

1.05  represents the growth factor of the function.

Step-by-step explanation:

In a general exponential growth equation :

, where A = initial value

b = growth factor

x = Time period

The given exponential function :

As we compare the given function to the general exponential growth equation , we get

b= 1.05

That meas the growth factor is 1.05.

Therefore , 1.05  represents the growth factor of the function.

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