Question

fidel has a rare coin worth $550. each decade, the coins value increases by 10%. which expression gives the coins value, 6 decades from now? choose 1 answer: a $550(1 + 0.1)^6$ b $550 + 0.1^6$ c $550 + (1 + 0.1)^6$ d $550 cdot 0.1^6$

Explanation:

Step1: Recall compound growth formula

The compound growth formula is $V = P(1 + r)^t$, where $P$ is initial value, $r$ is growth rate, $t$ is time periods.

Step2: Identify values from problem

$P = 550$, $r = 0.1$, $t = 6$

Step3: Substitute into formula

$V = 550(1 + 0.1)^6$

Answer:

A. $550(1 + 0.1)^6$