# Calcurama had a net income of 5 million dollars in 2010, while a small competing company, Computafest, had a net income of 2 million dollars. The management of Calcurama develops a business plan for future growth that projects an increase in net income of 0.5 million per year, while the management of Computafest develops a plan aimed at increasing its net income by 15% each year.how are they increasing ??‽?

1 answer

###### Question:

Calcurama had a net income of 5 million dollars in 2010, while a small competing company, Computafest, had a net income of 2 million dollars. The management of Calcurama develops a business plan for future growth that projects an increase in net income of 0.5 million per year, while the management of Computafest develops a plan aimed at increasing its net income by 15% each year.

how are they increasing ??‽?

how are they increasing ??‽?

## Answers

Using function concepts, it is found that:The net income increase of Calcurama is linear.The net income increase of Computafest is exponential.-----------------------------------------In a linear function, the rate of change is a constant number.In an exponential function, the rate of change is a constant percentage.The increase for Calcurama is of 0.5 million per year, which is a constant, thus, the increase is linear.The increase for Computafest is of 15% per year, which is a percentage, thus it is exponential.A similar problem is given at https://brainly.com/question/24282972

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