Question

a philanthropist pledges to donate 14% of a fund each year, if the fund initially has 718,000 how much will the fund have after 7 years?

Answer 1

Solution

- In order to solve the question, we simply need to follow the logic of the payment and then generalize with a formula that can help us find how much the fund will be for any number of years.

- 1st year: He pledges 14% of 718,000

This implies that the fund has increased to

$718,000+(14\%\text{ of 718,000\rparen}$

- 2nd year: He pledges 14% of 718,000 + (14% of 718,000).

This implies that the fund has increased to

$undefined$