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Verizon [17]
3 years ago
14

In 2013 Traci joined a swim club. The fees were £600 per year in 2013. Each year the fees increase by 6%. Calculate, to nearest

£, the fees in 2016.
Mathematics
1 answer:
balandron [24]3 years ago
6 0

Answer:

715 pounds

Step-by-step explanation:

<em>FV = solve</em>

<em>PV = 600</em>

<em>I% = 6</em>

<em>K = 1, N = 3 </em>(2013 - 2016 = 3 years)

Plug it in:

<em>FV = 600 x [ 1 + (6/100 x 1)]³</em>

= 600 x ( 1 + 0.06)³

= 600 x (1.06)³

FV = 714.61, 715 to the nearest dollar.

<em>Therefore, the fee in 2016 is 715 pounds.</em>

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