Step-by-step answer:
The base of the exponential function is set at 1.29 for a period of 7 days, which is expressed as
f(x) = 86*(1.29)^x
To determine the daily rate, divide the variable x by 7 (keeping x as the number of weeks), resulting in
f(x) = 86*1.29^(x/7)
Applying the exponent rule, b^(x/a) = b^(x*(1/a)) = (b^(1/a))^x
we can simplify by setting b=1.29, a=7 to arrive at
f(x) = 86*(1.29^(1/7))^x
f(x) = 86*(1.037)^x since evaluating 1.29^(1/7) yields approximately 1.037
Rounding 1.037 to 1.04 gives a (VERY) rough estimate function
f(x) = 86 * (1.04^x)
1.04 is only an approximation because 1.04^7 is expected to return 1.29, it actually results in 1.316; meanwhile, 1.037^7 returns 1.2896, which is much closer to 1.29.