Question 572686: what were the sales five year ago if its 15 million now and 5 year average annual rate of return is -7%.
Answer by niccolei(11)   (Show Source):
You can put this solution on YOUR website! -7% annual rate of return
x 5 years
= -35%
five years ago the sales were:
15,000,000 *-.07 or -7% = -1,050,000 (5th year annual rate of return)
15,000,000 + 1,050,000 = 16,050,000 (5th year sales)
16,050,000 *-.07 or -7% = -1,123,500 (4th year annual rate of return)
16,050,000 + 1,123,500 = 17,173,500 (4th year sales)
17,173,500 *-.07 or -7% = -1,202,145 (3rd year annual rate of return)
17,173,500 + 1,202,145 = 18,375,645 (3rd year sales)
18,375,645 *-.07 or -7% = -1,286,295.1 (2nd year annual rate of return)
18,375,645 + 1,286,295.1 = 19,661,940 (2nd year sales)
19,661,940 *-.07 or -7% = -1,376,335.8 (1st year annual rate of return)
19,661,940 + 1,376,335.8 = 21,038,275 (1st year sales)
I hope it would help you. Goodluck
|
|
|
