Question

The projected worth (in millions of dollars) of a large company is modeled by the equation w = 236(1.06)ᵗ . Find the constant coefficient.

A. 1.06
B. 236
C. t
D. 0

Answer 1

In the model equation w = 236(1.06)ᵗ, the constant coefficient is 236, representing the company's initial worth before any growth has occurred due to time.

Step-by-step explanation:

The constant coefficient in the given projection model equation w = 236(1.06)ᵗ represents the initial value before any growth due to time. In this equation, the coefficient is identified as the number that is being raised to the power of t, which represents time. The constant coefficient in this context is 236. While 1.06 is the base that represents the approximate annual growth rate in this model.