20% because:
rate of Increase = ( final - initial ) / initial * 100
rate of increase = ( 12 - 10 ) / 10 * 100
rate of Increase = 2 / 10 * 100
rate of Increase = 20
$23,152.50
Start: $20,000
1st year: $20,000 + $1,000.00 = $21,000
2nd year: $21,000 + $1,050.00 = $22,050
3rd year: $22,050 + $1,102.50 = $23,152.50
No because 4/1 does not equal to 9/4 or 16/9
