Exponential and

Logarithmic Functions
College Algebra
 Exponential Functions

Suppose you inherit $10,000.  You decide to invest in in an account paying

3% interest compounded continuously.  How can you calculate the balance
be in 5 years, 10 years, and 50 years?  You’ll want to know, especially for
retirement planning.
 Exponential Functions
•A  function that models exponential growth grows by a rate proportional
to the amount present. For any real number x and any positive real
numbers  and  such that , an exponential growth function has the form

where
•  is the initial or starting value of the function
•  is the growth factor or growth multiplier per unit 
 Compound Interest Formula
 
•Compound interest can be calculated using the formula

where
• is the account value,
•  is measured in years,
•  is the starting amount of the account, often called the principal, or
more generally present value,
•  is the annual percentage rate (APR) expressed as a decimal, and
•  is the number of compounding periods in one year
  The Number

  letter  represents the irrational number , as increases without bound.

•The
The number  is used as a base for many real-world exponential models. To
work with base , we use the approximation,  2.718282.
The constant was named by the Swiss mathematician Leonhard Euler
(1707–1783) who first investigated and discovered many of its properties.
 Exponential Model

 
•Given two data points, write an exponential model.
1. If one of the data points has the form (), then  is the initial value.
Using , substitute the second point into the equation , and solve for .
2. If neither of the data points have the form (), substitute both points into
two equations with the form . Solve the resulting system of two
equations in two unknowns to find  and .
3. Using the a and b found in the steps above, write the exponential
function in the form .
 Write an Equation Given the Graph of an
Exponential Function
•1.  First, identify two points on the graph. Choose the -intercept as one of
the two points whenever possible. Try to choose points that are as far
apart as possible to reduce round-off error.
2. If one of the data points is the -intercept (), then  is the initial value.
Using , substitute the second point into the equation , and solve for .
3. If neither of the data points have the form (), substitute both points into
two equations with the form . Solve the resulting system of two
equations in two unknowns to find  and 
4. Write the exponential function, 
 Writing an Exponential Function Given its Graph
 
•Choose the -intercept of the graph, , as the first point and thus initial
value, . Next choose a point on the curve some distance away from  that
has integer coordinates. One such point is .
Write form of an exponential equation
Substitute the initial value 3 for  
Substitute in 12 for  and 2 for 
Divide by 3
Take the square root
Because we restrict ourselves to positive values of , we will use 
Substitute  and  into the standard form to yield the equation 
 Continuous Growth/Decay Formula

  all real numbers , and all positive numbers  and , continuous growth

•For
or decay is represented by the formula

where
•  is the initial value,
•  is the continuous growth rate per unit time,
• and is the elapsed time.
If , then the formula represents continuous growth
If , then the formula represents continuous decay
 Continuous Compounding Formula

  business applications, the continuous growth formula is called the

•For
continuous compounding formula and takes the form

where
•  is the principal or the initial invested,
•  is the growth or interest rate per unit time,
• and  is the period or term of the investment
 Continuous Growth/Decay

 
•Given the initial value, rate of growth or decay, and time , solve a
continuous growth or decay function.

1. Use the information in the problem to determine , the initial value of the
function.
2. Use the information in the problem to determine the growth rate .
• If the problem refers to continuous growth, then 
• If the problem refers to continuous decay, then 
3. Use the information in the problem to determine the time .
4. Substitute into the continuous growth formula and solve for .
 Continuous Growth/Decay

 
•Example: A person invested $1,000 in an account earning a nominal
10% per year compounded continuously. How much was in the account
at the end of one year?
Solution: This is a continuous compounding problem with growth rate .
The initial investment was $1,000, so = 1000. We use the continuous
compounding formula to find the value after  = 1 year:
Use the continuous compounding formula
Substitute known values for ,, and 
Use a calculator to approximate

The account is worth $1,105.17 after one year.

 Graphs of Exponential Functions

•An  exponential function with the form , , , has these characteristics:

• one-to-one function
• horizontal asymptote: 
• domain: 
• range: 
• -intercept: none
• -intercept: 
• increasing if 
• decreasing if 
 Graphing Exponential Functions

 
•Given an exponential function of the form , graph the function.

1. Create a table of points.

2. Plot at least 3 points from the table, including the -intercept .
3. Draw a smooth curve through the points.
4. State the domain, , the range, , and the horizontal asymptote, .
 Graphing Exponential Functions

•Example:
  Draw the graph of

• Since  is between 0 and 1,

we know the function is decreasing
• Create a table of points
−2 −1 0 1 2
16 4 1 0.25 0.0625

• Plot the -intercept,  plus 2 other points

• Draw a smooth curve connecting the points
 Graphing a Vertical Shift

• 
Observe the results of shifting
vertically:
 Graphing a Horizontal Shift

• 
Observe the results of shifting
horizontally:
 Horizontal and Vertical Translations
• 
For any constants  and , the function shifts the parent function 
• vertically  units, in the same direction of the sign of , and
• horizontally  units, in the opposite direction of the sign of 
• The -intercept becomes 
• The horizontal asymptote becomes 
• The range becomes 
• The domain, , remains unchanged
 Desmos Interactive

Topic:

https://www.desmos.com/calculator/pajb6u9zzj
 Graphing Translations of Exponential Functions

 
•Given an exponential function with the form , graph the
translation.

1. Draw the horizontal asymptote .

2. Identify the shift as . Shift the graph of  left  units if  is positive, and
right  units if  is negative.
3. Shift the graph of  up  units if  is positive, and down  units if  is
negative.
4. State the domain, , the range, , and the horizontal asymptote .
 Vertical Stretch and Compression

 
•While horizontal and vertical shifts involve adding constants to the input or
to the function itself, a stretch or compression occurs when we multiply the
parent function  by a constant 
 Stretches and Compressions of Exponential
Functions

  any factor , the function 

•For
• is stretched vertically by a factor of if 
• is compressed vertically by a factor of  if 
• has a -intercept of 
• has a horizontal asymptote at , a range of , and a domain of , which are
unchanged from the parent function
 Desmos Interactive

Topic: exponential growth and decay

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 Reflections of Exponential Functions

  function 
•The   function 
•The
• reflects the parent function • reflects the parent function
about the -axis about the -axis
• has a -intercept of  • has a -intercept of , a
• has a range of  horizontal asymptote at , a
range of , and a domain of ,
• has a horizontal asymptote which are unchanged from the
at  and domain of , which are parent function.
unchanged from the parent
function.
 Graphing Reflections

•  When the parent function is

multiplied by −1, we get a
reflection about the -axis.
,

• When we multiply the input by −1,

we get a reflection about the -axis.
,
 Translations of Exponential Functions

•A  translation of an exponential function has the form where the parent

function, , , is

• shifted horizontally  units to the left

• stretched vertically by a factor of if
• compressed vertically by a factor of if
• shifted vertically  units
• reflected about the -axis when 
 Logarithmic Functions

 
•A logarithm base  of a positive number  satisfies the following definition:
For , , , is equivalent to , where
• we read  as, “the logarithm with base  of ” or the “log base  of ”
• the logarithm  is the exponent to which  must be raised to get 

For example,
is equivalent to
is equivalent to
 Natural Logarithms

 
•A natural logarithm  is a logarithm with base . We write  simply as . The
natural logarithm of a positive number  satisfies the following definition:

For ,  is equivalent to .

Since the functions and are inverse functions, for all and for .
 Graphs of Natural Logarithms

  can see the following characteristics in the graph of :

•We
• one-to-one function
• vertical asymptote: 
• domain: 
• range: 
• x-intercept: and key point 
• y-intercept: none
• increasing if 
• decreasing if
 Desmos Interactive

Topic: investigate how changing the base of the function changes its graph

https://www.desmos.com/calculator/pajb6u9zzj
 Translations of the Logarithmic Function

  the parent function :

•For

Shift
• Horizontally units to the left
• Vertically units up
Stretch and compress
• Stretch if
• Compression if
Reflect about the -axis
Reflect about the -axis
 Quick Review
•  What is the compound interest formula?
• How do you write an exponential model from two data points?
• How can you tell if an exponential function represents continuous growth or
decay?
• For the function , what term indicates a horizontal shift?
• What is the inverse of an exponential function?
• What is the difference between a natural logarithm and a common logarithm?
• For the function , what term indicates a stretch or compression?
• What is an extraneous solution?