7. A major US city reports a 12% increase in decoration sales during the yearly holiday season. If decoration sales were 8 million in 1998, how much did the city report in total decoration sales by the end of 2004? I got 15.79058148 as answer. Is this correct?

Question

7.	A major US city reports a 12% increase in decoration sales during the yearly holiday season. If decoration sales were 8 million in 1998, how much did the city report in total decoration sales by the end of 2004? I got 15.79058148 as answer. Is this correct?

anonymous · Answer

im a little confused...is it increasing by 12% each year from 1998 to 2004? or is it just one increase?

anonymous · Answer

12% each year is the common term. I'm working in geometric series so all my past problems have used for each year.

anonymous · Answer

ah, ok, then yes you are correct :)

anonymous · Answer

$$8(1.12)^6$$