Financial administration

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UNIMINUTO UNIVERSITY

Yolanda Carolina Barrera Rubiano ID 710760

William Orlando Herrera Mesa ID: -767529

Karent Ximena Pereira Pena ID: 651228

Exponential function and logarithmic function

Mathematics Fundamentals

Antonio Muñoz Meneses

(Teacher)

Group 6

2020
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Exponential function

Characteristics of the Exponential Function

● The base a of the exponential function must be positive and different from 1.

● If the variable x is x=0, the function is f(x)= 1

● If the variable x is x=1, the function is f(x)= a

● The domain and range of the function are all real numbers. It is a continuous
function.

● Increasing a>1 Decreasing a<1

Properties: laws of exponents:

Zero Exponent . Any number raised to the power 0 is equal to 1, except zero itself.
Negative Exponent . It means the reciprocal function with the positive exponent.
Product of exponents with equal bases : the exponents are added and keep their base.
Quotient of exponents with equal bases : the exponents are subtracted and keep their
base.
Power raised to a power , the base is maintained and the exponents are multiplied.
Product raised to a power, each factor is raised to the power.
Quotient raised to a power , numerator and denominator are raised to the power.
Rational exponent, the denominator of the rational exponent becomes the index of the
radical, and the numerator becomes the exponent of the radical.

equations with logarithms

example:
Log(x+6) = 1 + log(x-3)

The logarithm that usually appears in logarithmic equations is the decimal or natural
logarithm and, normally, always the same base throughout the equation.
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The way to solve them is the same whatever the base of the logarithm, so in this topic
we are going to symbolize logarithms as log, understanding that the base is 10, as long
as we do not say the opposite.

Example: Solve the equation log(x+6) = log (2x-1).

It seems logical that for this equation to be true, it must be: x + 6 = 2x - 1 or x = 7.

We have solved the first logarithmic equation. Very simple in this case, but it provides
us with the method to solve them all. We will see it soon

GRAPHIC RESOLUTION

Now let's graphically see the solution of the equation.

As in all equations with an unknown, two methods can be used: Get it equal to 0,
representing the equation (which is a function) in the program: y =…first member....
The x values of the intersection points with the X axis will be the solutions.

Represent the functions corresponding to the two members of the equation and the x
values of the cut points will be the solutions.

In our case, using the first method, it turns out: log(x+6) – log(2x-1) = 0, then we
represent y = log(x+6) - log(2x-1).

"The value of "x" of the cut point of the graph obtained with the X axis is the solution of
the equation"

We immediately observe that it is x = 7.

But also in the scene we also see a line that cuts the X axis at the same point (with x =
7). This is the one that represents the equation: x + 6 = 2x - 1, that is: y = x+6 - (2x-1),
which confirms the correctness of the method.

This graphic method will help us solve any logarithmic equation.

NUMERICAL RESOLUTION (general case)

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The method to solve logarithmic equations numerically is based on the example of
exercise 1. It is therefore a question of obtaining an equation of the type log(...) =
log(...). To do this, the properties of the logarithms that we mark below must be very
clear:

Always from the definition of the logarithm of a number (b) in a certain base (a): log b
(a)=n so that b n =a., the properties of logarithms are deduced. We highlight here the
most important ones to solve logarithmic equations.

Log A + log B = log (A·B) (allows a sum of logarithms to be grouped into a single
term)

Log A - log B = log(A/B) (allows grouping a difference of logarithms into a single

term)

n log A = log A n . (which will be used if necessary before the previous two). In this
case, keep in mind that, if "n" is a fractional number, a root will remain within the log.

n = log 10 n (and in particular: "0 = log 1"; 1 = log 10)

Example: Solve, in the workbook, the equation proposed at the beginning: log(x+6) = 1
+ log(x-3).

"Solve this equation graphically in the following scene, changing it in the corresponding
window"

You can use the first or second method of those explained at the beginning.

To solve it numerically, we will proceed to apply the previous properties in the

appropriate order: log(x+6) = 1 + log(x-3); log(x+6) = log 10+ log(x-3); log(x+6) = log
10(x-3). With which the equation is now reduced to the appropriate form and the
solution will be the same as that of the equation: x+6 = 10(x-3) which is x = 4 .

2
Exercises: f (x)=5 x

x and
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-2 1/25

-1 1/5

0 1

1 5

2 25

Exponential equations

On this page we explain and solve increasingly complex exponential equations. The
first equations that we work on are those that are easily solved by equating exponents,
the following are those that require a change of variable and the last are those that are
solved by logarithms. Also, we will see how to solve an exponential equation with
roots.
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It is essential to know the properties of powers since they allow us to simplify the
equations. Generally, we will write the whole numbers in the equations in their power
form.

Basic equation

The equation we started with is an equality between an exponential and an integer that
can be written as a power with the same base as the exponential.

For example, the equation 5x= 1255 x =125 can be written as

5x=535x=53

Taking into account that two powers with the same base are equal if, and only if, their
exponents are equal, the solution to the equation 5x=535x=53 is x=3x=3.

Solve the equation by equating exponents of powers with a common base:

Sometimes, we will also have to write the bases of exponentials as powers. For
example, in the equation

We write 16 as the power 2424 and the base of the exponential 4x4x as 4=224=22 to
have common bases:
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If we have numbers, powers or exponentials that multiply the exponentials, we can
simplify them by applying the properties of the powers.

For example,

● If we have 2 ⋅ 2x2 ⋅ 2x, we eliminate the 2 on the left by writing +1 in the

exponent:

● If we have 4 ⋅ 2x4 ⋅ 2x, we eliminate the 4 on the left by writing +2 in the

exponent:

Variable change
When we have coefficients in the unknown in the exponents, we can apply a change of
variable. Normally, a change like 2x=t2x=t or 3x=t3x=t will suffice (the base will
depend on the exponentials in the equation).

For example, to solve the following equation, we will apply the variable change
2x=t2x=t and we will obtain a second degree equation:

The solutions of the quadratic equation are

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Since t=2xt=2x, we have

The first equation, 2x= 42 x

=4 has no real solution (because the power of a positive number c

From the second equation, we have that x=1x=1.

Exponential equation with roots

Since the roots are powers with fractions in the exponents, we can find exponential
equations with radical signs. We will solve them practically in the same way.

It must be remembered that

For example, we solve the following equation that has the unknown in a root:

We write the root and the number 16 as powers:

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To solve the above equation, we pass x1x1 by multiplying to the other side:

We solve the quadratic equation:

The exponential equation has two solutions: x=3x=3 and x=1x=1.

Exercises:

1. A person deposits 2 million pesos under a compound interest regime at an

interest rate of 5% monthly for 1 year and 6 months. Find out the final capital
obtained.

C 0 = 2,000,000
i = 5% monthly = 5/100 = 0.05 monthly
n = 1 years and 6 months = 18 months
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Reference-

● Arya, J.C. and Lardner, R.W. (2009) Mathematics applied to administration and
economics (Guide text) Fifth edition, Mexico City, Mexico; Pearson Education.
● Hoffman, L. (2014) Mathematics applied to administration and business,
Mexico City, Mexico Mc Graw-Hill Interamericana