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If [tex]\( f(4) = 246.4 \)[/tex] when [tex]\( r = 0.04 \)[/tex] for the function [tex]\( f(t) = P e^{rt} \)[/tex], then what is the approximate value of [tex]\( P \)[/tex]?

A. 50
B. 289
C. 210
D. 1220

Answer :

To find the approximate value of [tex]\( P \)[/tex] in the function [tex]\( f(t) = P \cdot e^{r \cdot t} \)[/tex], we follow these steps:

1. Identify the values given in the problem:
- [tex]\( f(4) = 246.4 \)[/tex]
- [tex]\( r = 0.04 \)[/tex]
- [tex]\( t = 4 \)[/tex]

2. Write the equation using the function definition:
[tex]\[
f(t) = P \cdot e^{r \cdot t}
\][/tex]
Substituting the given values, we have:
[tex]\[
246.4 = P \cdot e^{0.04 \cdot 4}
\][/tex]

3. Calculate the exponent in the exponential function:
[tex]\[
r \cdot t = 0.04 \cdot 4 = 0.16
\][/tex]

4. Calculate [tex]\( e^{0.16} \)[/tex]. The numerical approximation for [tex]\( e^{0.16} \)[/tex] is approximately 1.1735.

5. Solve for [tex]\( P \)[/tex] by rearranging the equation:
[tex]\[
P = \frac{246.4}{1.1735}
\][/tex]

6. Perform the division:
[tex]\[
P \approx 209.97
\][/tex]

The closest approximate value from the options given is 210. Therefore, the answer is:

C. 210

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