Answer:
$68.10
Explanation:
Your wording is confusing, btu I assume that you mean the stock increases by 5.4% each year. If that’s the case, you have to use the equation 40.25(0.054+1)^10. 40.25 represents your starting value. 0.054 represents the value change in decimal form and the +1 is because your stock is increasing, which means you need to add 1 so it actually increases. the power of 10 is the 10 year period of your stock increasing. So, if you simplify that, you get 68.10 (Remember, you have to round your answer to the nearest hundredth because it is cents). And, you should get 68.10.