If each years cumulate an increase of 1100 dollars, then the cost after 22 years will be the base cost (27000) plus 22 increases (22*1100), for a total of
![27000 + 22\cdot 1100 = 27000 + 24200 = 51200](https://img.qammunity.org/2019/formulas/mathematics/high-school/al7yezlor2ii28zj38pi5szi2l0cl70nge.png)
This relates to arithmetic series as follows: a series is arithmetic if, given a starting element
, every next element is given by adding a fixed number, called common difference,
. So, the first terms are
So, you can see that the element
is obtained by adding n times the common ratio to the starting element.
Since the element
represents the cost after n years, we are interested in the element
![a_(22) = x_0 + 22r = 27000 + 22\cdot 1100 = 512000](https://img.qammunity.org/2019/formulas/mathematics/high-school/hkfzl8b79459yme0v03z1ahrrc3cghhuq5.png)
As we had already calculated.