Hosea is given $100. Each day, he gains 1% on the total dollar amount he has, then he loses 1% of his total each night. If Hosea gains no other money, what will eventually happen to the total amount of money? O A. It will increase linearly over time. O B. It will first decrease, then increase. O C. It will increase exponentially over time. O D.It will remain the same over time. O E. It will decrease over time.

A First Course in Probability (10th Edition)
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ISBN:9780134753119
Author:Sheldon Ross
Publisher:Sheldon Ross
Chapter1: Combinatorial Analysis
Section: Chapter Questions
Problem 1.1P: a. How many different 7-place license plates are possible if the first 2 places are for letters and...
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**Problem Statement:**

Hosea is given $100. Each day, he gains 1% on the total dollar amount he has, then he loses 1% of his total each night. If Hosea gains no other money, what will eventually happen to the total amount of money?

**Options:**

A. It will increase linearly over time.

B. It will first decrease, then increase.

C. It will increase exponentially over time.

D. It will remain the same over time.

E. It will decrease over time.

**Explanation:**

This problem describes a daily increase and decrease of 1% on the total amount of money Hosea has. You are asked to determine the long-term behavior of this amount.
Transcribed Image Text:**Problem Statement:** Hosea is given $100. Each day, he gains 1% on the total dollar amount he has, then he loses 1% of his total each night. If Hosea gains no other money, what will eventually happen to the total amount of money? **Options:** A. It will increase linearly over time. B. It will first decrease, then increase. C. It will increase exponentially over time. D. It will remain the same over time. E. It will decrease over time. **Explanation:** This problem describes a daily increase and decrease of 1% on the total amount of money Hosea has. You are asked to determine the long-term behavior of this amount.
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