SOLUTION: You buy a commemorative coin for 25$ The value of the coin increases at 3.25% per year. How much will the coin be worth in 15 years? Round to the nearest cent.

Algebra ->  Polynomials-and-rational-expressions -> SOLUTION: You buy a commemorative coin for 25$ The value of the coin increases at 3.25% per year. How much will the coin be worth in 15 years? Round to the nearest cent.      Log On


   



Question 630465: You buy a commemorative coin for 25$ The value of the coin increases at 3.25% per year. How much will the coin be worth in 15 years? Round to the nearest cent.
Answer by josmiceli(19441) About Me  (Show Source):
You can put this solution on YOUR website!
For now, say the cost of the coin = a
After 1 year it's worth
+a+%2B+.0325a+
+a%2A%28+1+%2B+.0325+%29+
After 2 years
+a+%2B+.0325a+%2B+.0325%28+a+%2B+.0325a+%29+
+a%2A%28+1+%2B+.0325+%29+%2B+.0325a%2A%28+1+%2B+.0325+%29+
+%28+1+%2B+.0325+%29%2A%28+a+%2B+.0325a+%29+
+a%2A%28+1+%2B+.0325+%29%5E2+
After 15 years:
+a%2A%28+1+%2B+.0325+%29%5E15+
The coin cost $25, so it's worth
+25%2A%28+1.0325+%29%5E15+
You can do this with calculator