Respuesta :
Answer:
$444,383.
Step-by-step explanation:
Let x represent number of years.
We have been given that in a company's first year in operation, it made an annual profit of $122,000. The profit of the company increased at a constant 9% per year each year.
We will use exponential growth function to solve our given problem.
[tex]y=a(b)^x[/tex], where
a = Initial value,
b = For growth b is in form [tex]1+r[/tex].
[tex]r=\frac{9}{100}=0.09[/tex]
[tex]y=122,000(1+0.09)^x[/tex]
[tex]y=122,000(1.09)^{15}[/tex]
[tex]y=122,000(3.6424824596875201)[/tex]
[tex]y=444382.86008187[/tex]
[tex]y\approx 444,383[/tex]
Therefore, the company would make a profit of $444,383 over the course of its first 15 years of operation.
Answer: the company made $152,971,589 total profit over 25 years
Step-by-step explanation:
