On May 18, 2010, a company reported that it had a net profit of $15.1 million, which represented an increase of 206.3% for 12-month period ending on March 31, 2010.

Estimate the net profit for the previous year ending on March 31, 2009 by creating an exponential growth equation using
P(t)= profit in millions
t= time in years since March 31, 2010

P(t) = 15.1*2.06^t

To estimate the net profit for the previous year ending on March 31, 2009, using an exponential growth equation, we can make use of the given information.

First, let's define the growth equation:

P(t) = P(0) * (1 + r)^t

Where:
P(t) = the profit at time t
P(0) = the initial profit (at t = 0)
r = the rate of growth (in decimal form)
t = time in years since the initial profit

We are given the net profit for May 18, 2010, which is 206.3% higher than the profit for the 12-month period ending on March 31, 2010. Let's use this information to find the rate of growth (r):

Increase in profit = 206.3%
Increase in profit = (net profit for May 18, 2010 - profit for 12-month period ending on March 31, 2010) / profit for 12-month period ending on March 31, 2010

206.3% = (15.1 million - P(0)) / P(0)

Simplifying the equation,

2.063 = (15.1/P(0)) - 1

Multiply through by P(0):

2.063P(0) = 15.1 - P(0)

Combine like terms:

3.063P(0) = 15.1

Divide both sides by 3.063:

P(0) = 15.1 / 3.063

P(0) ≈ 4.928 million

Now, we know the initial profit P(0) is approximately $4.928 million. To estimate the net profit for the previous year ending on March 31, 2009, we need to determine the time difference between March 31, 2010 (t = 0) and March 31, 2009 (t = -1). Since there is a one-year difference between the two timestamps, we can substitute t = -1 into the growth equation.

P(-1) ≈ 4.928 * (1 + r)^(-1)

Finally, substitute the values into the equation and solve for P(-1):

P(-1) ≈ 4.928 * (1 + r)^(-1)
P(-1) ≈ 4.928 * (1 + r)^(-1)
P(-1) ≈ 4.928 * (1 + r)

Since we don't have the exact value of r, we can't calculate the precise net profit for the previous year. However, you can use this equation to estimate the net profit by substituting different assumed values of r and solving for P(-1).