SOLUTION: Adam wants to buy a home entertainment system costing $5000. The price of the system increases 4% per year. How much will the system cost in 3 years?

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Question 993959: Adam wants to buy a home entertainment system costing $5000. The price of the system increases 4% per year. How much will the system cost in 3 years?
Answer by Boreal(15235) About Me  (Show Source):
You can put this solution on YOUR website!
Price=5000(1.04)^3
1.04^3=1.12 but don't round until the end. Multiply directly by $5000=$5624.32.