Question 572686
-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