Question

Samuel took an Antigua clock that his grandfather had purchased, to be appraised the appraiser evaluated the current price of the clock to be $400 and stated that the value will continue to increase at 2% per year. Witch of the following graphs shows the value of the antique clock, y , in dollars , after x years ?

Answer 1

For this case we have an equation of the form:
 $y = A * (b) ^ x$ 
 Where,
 A: original price
 b: growth rate
 x: number of years
 Substituting values we have:
 $y = 400 * (1.02) ^ x$ 
 Answer:
 the value of the antique clock, and, in dollars, after x years is:
 $y = 400 * (1.02) ^ x$