SOLUTION: Daniel bought a car for $45,000 and its value increases by 10% each year. what would be its value in 5 years.

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Question 229062: Daniel bought a car for $45,000 and its value increases by 10% each year. what would be its value in 5 years.
Answer by JenniferTutors(83) About Me  (Show Source):
You can put this solution on YOUR website!
For this problem, starting with year 1, if you take 45,000 and multiply it by 10% percent, you will get 4,500. Well add that number to 45,000 to equal 49,500. Proceed to year 2, take your total 49,500 and multiply by 10% to get 4,950. Add that number to 49,500 to equal 54,350. Proceed to year 3 and so on.
Hope this helps!