assuming that the annual rate of inflation averages 4% over the next 15 years, the approximate costs c of…

assuming that the annual rate of inflation averages 4% over the next 15 years, the approximate costs c of goods or services during any year in that decade will be modeled by c(t) = p(1.04)^t, where t is the time in years and p is the present cost. the price of an oil change for your car is presently $24.89. estimate the price 15 years from now. (round your answer to the nearest cent.) $ you may have rounded in the wrong direction. need help? read it watch it

assuming that the annual rate of inflation averages 4% over the next 15 years, the approximate costs c of goods or services during any year in that decade will be modeled by c(t) = p(1.04)^t, where t is the time in years and p is the present cost. the price of an oil change for your car is presently $24.89. estimate the price 15 years from now. (round your answer to the nearest cent.) $ you may have rounded in the wrong direction. need help? read it watch it

Answer

Explanation:

Step1: Identify values

$P = 24.89$, $t=15$, and the formula is $C(t)=P(1.04)^t$.

Step2: Substitute values

$C(15)=24.89\times(1.04)^{15}$.

Step3: Calculate $(1.04)^{15}$

Using a calculator, $(1.04)^{15}\approx1.8009435$.

Step4: Calculate $C(15)$

$C(15)=24.89\times1.8009435\approx44.83$.

Answer:

$44.83$