Question

Three years after a company was founded, its assets were $11,283,500. Ten years after being founded, its assets had grown to $21,794,600. During that period of time, at what rate did the company's assets grow per year?

Answer 1

$1,051,110

Explanation:

Given

Step one:

Company's initial asset value = $11,283,500

Company's final asset value = $21,794,600

Step two

we can calculate the company's asset appreciation after 10 years as

$21,794,600- $11,283,500= $10,511,100

Step three

Hence, the growth rate of the company's asset value per year can be expressed as = $10,511,100/10= $1,051,110