Question

The library at a certain university reported that journal prices had increased by 225%

over a period of 15 years. The report concluded that this represented a price increase of 15% each year. If journal prices had indeed increased by 15% each year, what percentage increase would that give over 15 years?

Answer 1

Explanation:

If journal prices increased by 15% each year, after 15 years the total price increase would be calculated as follows:

(1 + 0.15)^15 = 2.25

So the total price increase over 15 years would be 225%. This matches the increase reported in the library's report, which concluded that the price increase was 15% per year