Question

If you earn $3500 per month and you expect your earnings to increase by 2.3% per year, how much do you think you will be making in 10 years? (Express your answer rounded correctly to the nearest cent!)

Answer 1

`\bf \qquad \textit{Amount for Exponential Growth}\\\\ A=I(1 + r)^t\qquad \begin{cases} A=\textit{accumulated amount}\\ I=\textit{initial amount}\to &3500\\ r=rate\to 2.3\%\to (2.3)/(100)\to &0.023\\ t=\textit{elapsed time}\to &10\\ \end{cases} \\\\\\ A=3500(1+0.023)^(10)`