The projected worth (in millions of dollars) of a large company is modeled by the equation w = 261 (1.06) t. The variable t represents the number of years since 2000. What is the projected annual percent of growth, and what should the company be worth in 2009?

Question

Mathematics

Terrence

20 January, 13:14

The projected worth (in millions of dollars) of a large company is modeled by the equation w = 261 (1.06) t. The variable t represents the number of years since 2000. What is the projected annual percent of growth, and what should the company be worth in 2009?

+3

Answers (1)

Know the Answer?

Renee Day · Answer 1

I believe you meant w (t) = 261 (1.06) ^t, where " ^ " indicates exponentiation.

The projected annual growth rate comes directly from the "1.06" in this equation: It is 0.06, or 6%.

2009 is 9 years past 2000, so let t=9.

Then w (9) = 261 (1.06) ^9 = $440.95 million.

This is the projected company worth in 2009.