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An item currently costing $ is increasing in cost by % per year.

  1. What is the multiplier?

    The cost is increasing, so the multiplier will be greater than .

  2. What will the item cost five years from now?

    The original cost would be multiplied by for the first year, an additional for the second year, an additional every year after that.


  3. Write an equation to calculate the cost in years. What does each of the factors in your equation represent?

    Use the starting value and multiplier to write an equation of the form