Algebra Word Problem Help
posted by Carmin .
In 1626, Peter Minuit of the Dutch West Indies purchased Manhattan Island from the Native Americans for $24. Assuming an exponential rate of inflation of 6% per year, how much will Manhattan Island be worth in 2010?
The year 2019 is 384 years later.
The value after that many years at a 6% appreciation rate is
24*(1.06)^384 = 125 billion dollars