How to Write a Function That Illustrates Losing Value

Functions in mathematics are used as modeling tools. When it comes to modeling a decrease in value, a decreasing exponential function can do the trick. Exponential functions can be modified to fit your actual data so they accurately reflect how much value you have lost -- or are likely to lose -- and when. Decreasing exponential functions have the format y=(a)-b^x, where b is the base and a is the leading coefficient.

Things You'll Need

  • Set of ordered pairs (t,y data)
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Instructions

    • 1

      Calculate the leading coefficient from one ordered pair by substituting the values into the exponential equation. For example, if your data has the ordered pair of (0,2), 2=ab^0 = a(2) = a. Therefore, your leading coefficient is 2.

    • 2

      Substitute another known data point into your new equation and solve for the base, b. In this example, the equation so far is y=(2)b^t. Substitute a new known "t" into the equation -- any point on your ordered pair data will do -- and it becomes:
      y=(3)-b^1
      3=-b^1=-b=3
      b=-3

    • 3

      Write your equation with the leading coefficient from Step 1 and base from Step 2. In this example, the equation is:
      y=(2)-3^t

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