19
QuizMultiple Choice

Consecutive Growth and Decay Factors

Question 19 • Applications and Modeling

You are planning on purchasing a new car and have your eye on a specific model. You know that new car prices are projected to increase at a rate of 5% per year for the next few years. Find the cost of the car 3 years from now if the current price is $26,000. Write the equation that represents the projected cost C and provide a solution for the problem.

Question illustration
Answer
A
$81,900
B
$30,098.25
C
$82,404.45
D
$74,285.71