Answer: $51,800
Explanation:
if the value increases by 10% every year, we can represent this as a linear function, in the form:
y = mx + b
y = [0.1(37,000)]x + 37,000
0.1 x 37000 represents the 10% increase per year, and x represents the number of years that have passed. we add 37,000 at the end to represent the original cost of the painting.
we can simplify the 0.1(37,000) to 3700, which is how much the painting's cost should increase per year. so our equation is:
y = 3,700x + 37,000
So, in 4 years, the painting will be worth:
y = 3,700(4) + 37,000
14,800 + 37,000
$51,800