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1 vote
1 vote
Middletown University charges $29,000 for tuition. If they raise their tuition by 5% each year,

how much will tuition be in 3 years?

User Dally
by
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2 Answers

12 votes
12 votes


~~~~~~ \textit{Compound Interest Earned Amount} \\\\ A=P\left(1+(r)/(n)\right)^(nt) \quad \begin{cases} A=\textit{accumulated amount}\\ P=\textit{original amount deposited}\dotfill &\$29000\\ r=rate\to 5\%\to (5)/(100)\dotfill &0.05\\ n= \begin{array}{llll} \textit{times it compounds per year}\\ \textit{each year, thus once} \end{array}\dotfill &1\\ t=years\dotfill &3 \end{cases} \\\\\\ A=29000\left(1+(0.05)/(1)\right)^(1\cdot 3)\implies A=29000(1.05)^3\implies A\approx 33571.13

User Yesterdaysfoe
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2.4k points
18 votes
18 votes

Answer:

$33,350

Explanation:

User Deysi
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2.9k points