Intermediate Algebra for College Students (7th Edition)

Published by Pearson
ISBN 10: 0-13417-894-7
ISBN 13: 978-0-13417-894-3

Chapter 9 - Section 9.1 - Exponential Functions - Exercise Set - Page 673: 55

Answer

$\$832,744$.

Work Step by Step

Given values are Inflation rate $r=6\%=0.06$. The value today $C=\$465,000$. Time $t=10$ years. The formula is $S=C(1+r)^t$. Substitute all values $S=465,000(1+0.06)^{10}$ $S=465,000(1.06)^{10}$ $S=832,744.178892$ Rounded to the nearest dollar: $S=\$832,744$.
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