Question

Please help!!

You rent an apartment that costs $1800 per month during the first year, but the rent
is set to go up 11.5% per year.
What would be the rent of the apartment during the
10th
year of living in the apartment? Round to the nearest tenth (if necessary).

Answer 1

4794

Explanation:

Answer 2

Rent in 10th year = $5345.90

Explanation:

Rent of apartment during first year = $1800 per month

But growth in rent with 11.5% per year will be represented by the exponential function,

Rent in 't'th year =
`\text{Initial rent}(1+\frac{\text{Growth rate}}{100})^{\text{time}}`

=
`1800(1+(11.5)/(100))^t`

=
`1800(1.115)^t`

Therefore, rent during 10th year will be,

Rent in 10th year =
`1800(1.115)^(10)`

= $5345.90