Exponential Growth Models
Use exponential functions to model growth over time.
Students write exponential growth models of the form , converting percent rates to growth factors and matching the time variable to the rate's period.
Lesson plan and worked examples by TEKSForge · not a TEA-issued lesson. Videos by independent educators.
Archived course: TEKS code and readiness label from TEA's 2013 Algebra II key. Algebra II is not one of Texas's current required STAAR EOC assessments, and this lesson does not change the Biology and Algebra I Study Plans.
Learn the concept
Identify the parts
An exponential growth model is . The initial value a is the amount when . The growth rate r is a decimal, and is the factor that multiplies the amount each period.
Match the period
If a rate is monthly, t counts months; if it is yearly, t counts years. “Months after January” means January is t = 0, so the initial amount is January's value.
Exponential versus linear
A linear model adds a constant amount: . An exponential model multiplies by a constant factor. Over long periods, steady percent growth eventually exceeds constant additive growth.
Worked example
A town has 12,000 residents and grows 2.5% per year. Write a model and estimate the population after 4 years.
- The initial value is 12,000 and the growth factor is 1 + 0.025 = 1.025.
- Write , with t in years.
- Evaluate: .
About 13,246 residents
Watch the lesson
Texas public-school, Texas educator-created, and TEKS-aligned lessons, hosted by their creators. Each card names its source.
Algebra 2 Solving Exponential Equations
UT IPSI · Kid2Kid / Texas Education AgencySolve exponential equations that arise from growth models.
Watch on YouTubeAlgebra 1 Writing Exponential Functions from Real-world Situations
Five Minute Math · Aaron Daffern, Dallas ISDTranslate a starting amount and percent growth rate into an exponential function.
Watch on YouTubeTry it yourself
TEKSForge practice · unscored
1. A channel starts with 850 subscribers and grows 6% per month. Write a model.
Show answer and reasoning
The initial value is 850. Adding 0.06 to 1 gives the monthly growth factor, and m counts months.
2. After 10 years, which is larger: 1,000 growing 5% per year or 1,000 growing by 50 per year?
Show answer and reasoning
The 5% exponential model
, while .
Released STAAR practice
Texas Education Agency · archived 2013 released EOC items · scored with TEA's answer key; step-by-step explanations written by TEKSForge because this release has no rationales. Original graphs, tables, and diagrams are shown where the released item includes one.
Archived released STAAR Algebra II EOC · 2013 · Item 7 · 1 point
There were 417 cell phones sold at an electronics store in January. Since then, cell phone sales at this store have increased at a rate of 3.75% per month. At this rate of growth, which function can be used to determine the monthly cell phone sales months after January?
Show STAAR answer and explanation
Each month retains 100% of the previous sales and adds 3.75%, so the growth factor is . The initial value is 417 and m is the number of monthly growth periods.
: 0.0375 is the growth rate, not the factor that retains the previous month's sales and adds growth.
: 0.9625 would represent a 3.75% decrease, and January is m = 0 rather than m = 1.
: This uses the rate as the base and shifts the exponent, so it gives neither 417 initial sales nor monthly growth.
Archived released STAAR Algebra II EOC · 2013 · Item 26 · 1 point
An antibiotic is introduced into a colony of 12,000 bacteria during a laboratory experiment. The function can be used to model the number of bacteria in the colony after minutes. Which value is closest to the amount of time needed for the population of the colony to drop to 8,000 bacteria?
- 11 min
- 25 min
- 8 min
- 42 min
Show STAAR answer and explanation
25 min
Solve . Divide: . Take logarithms: , so minutes.
11 min: ; the population is still above 8,000.
8 min: ; the population is still above 8,000.
42 min: ; the population has already dropped well below 8,000.
Learning objectives
By the end of the lesson, students can:
- Identify the initial value and percent growth rate in a context.
- Convert a percent growth rate r to the growth factor .
- Evaluate and compare exponential and linear models over time.
Instructional sequence
- 1
Engage
5 minCompare adding 40 subscribers each month with increasing subscribers by 4% each month. Ask which grows faster over many months.
- 2
Direct instruction
10 minLabel a as the starting amount and as the repeated multiplier. Practice converting 3.75%, 12%, and 0.5% to growth factors.
- 3
Guided practice
13 minBuild a month-by-month table by repeated multiplication, then write the matching exponential rule.
- 4
Compare models
14 minPairs compare linear and exponential models for the same starting value and explain when each is appropriate.
- 5
Closure
8 minStudents label the parts of a model and complete the exit ticket.
Misconceptions to address
Teacher move: Convert 3.75% to 0.0375 and add it to 1. The growth factor is 1.0375 because each period keeps 100% and adds 3.75%.
Teacher move: The percent acts on the current amount, which keeps changing. Use a table to show the increases getting larger.

