The Forest Lawn Bakery makes an average income of $155,500 every year. The profit goes up by 7% for 1 year every 10 years. But it goes down 1.5% for 1 year every 10 years. it was founded in 1917 (with the average income of 155,500 dollars) using the data, what is the income of the Bakery now?
What does this mean "The profit goes up by 7% for 1 year every 10 years."
Which year does the profit go up? The first out of 10, the last out of ten, or does it mean something else?
The question does not make sense.
PLUS if you did get an answer surely you are capable or rounding it to 2 decimal places all by yourself!
I shall make some assumptions about your badly-worded question:
1- That the income of the Bakery grows @ 7% for the first 10-year period.
2-That the income of the Bakery drops @ 1.5% for the next 10-year period.
3- That the NET increase in the Bakery's income over a 20-year period is:
1.07 x 0.985 =1.05395%.
4- Therefore, the NET increase in Bakery's income over five 20-year periods, or over 100 years will be: 1.05395^5 x $155,500 =$202,222.95, which is Bakery's income today.