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Another business was valued at $8000 at the start of 2013. In 5 years, the value of his business _________. Find the value of x.

User Vanethos
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Final answer:

The exact value of x cannot be determined without additional information on the growth rate or the final valuation of the business. Generally, for investments like CDs, one would use the compound interest formula to find the future value.

Step-by-step explanation:

The student's question appears to be asking for the value of x, which represents the change in the value of a business over five years. However, the provided choices (a. It will become sixteen times its original value, b. It will become four times its original value, c. It will become double its original value, d. It will remain unchanged) seem unrelated to the initially stated valuation of $8000. Without additional context such as the percentage rate of growth or a specific valuation at the end of the five years, it's not feasible to determine x's value accurately. Therefore, if the student can provide the rate at which the value of the business changed or its final value after five years, a precise calculation can be provided.

In a general sense, when a business or investment like a Certificate of Deposit (CD) grows over time at a given interest rate, one can use the formula for compound interest to determine its future value. For instance, the value of a 5-year CD for $1,000 with a 2% interest rate compounded annually would be calculated using the compound interest formula A = P(1 + r/n)^(nt), where P is the principal amount ($1,000), r is the annual interest rate (0.02), n is the number of times that interest is compounded per year (1), and t is the time in years (5).

User Stooboo
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