The cost of an antique vase increase by 6% every year If its price is rupess 25,00, what will be its price after 3years?
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Answered by
27
the rate of increase= i = 6%
no.of years =n= 3
value at the end of 3 years = A
P = value at the beginning = 2500
P(1+i)^n = A
2500(1+6/100)^3= A
2500(1+0.06)^3 = A
2500(1.06)^3= A
2500(1.191) = A
A = 2977.5
A= 2977.5= price after 3 years
no.of years =n= 3
value at the end of 3 years = A
P = value at the beginning = 2500
P(1+i)^n = A
2500(1+6/100)^3= A
2500(1+0.06)^3 = A
2500(1.06)^3= A
2500(1.191) = A
A = 2977.5
A= 2977.5= price after 3 years
Answered by
15
Greetings..!
Present price = Rs 2500
Annual Increase in price = 6%
Increase in first year = (6/100)*2500=Rs 150
So, price after first year = 2500 + 150 = Rs 2650
Increase in second year = (6/100)*2650=Rs 159
Price after second year = 2650+159=Rs 2809
Increase in third year = (6/100)*2809=Rs 168.54
Price after third year = Rs 2809.00+168.54=Rs 2977.54
Answer :Hence,its price after 3 years is Rs 2977.54
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