The following table shows the income from sales of a certain magazine, measured in thousands of dollars, at the start of the given year. Year Income 2005 7.73 2006 8.76 2007 9.79 2008 10.82 2009 11.85 2010 13.15 2011 14.60 2012 16.21 Over an initial period the sales grew at a constant rate, and over the rest of the time the sales grew at a constant percentage rate. Calculate differences and ratios to determine what these time periods are. (Round your answers to two decimal places.) Interval New income (in thousands of dollars) Old income (in thousands of dollars) Difference New Old ratio 2005 to 2006 2006 to 2007 2007 to 2008 2008 to 2009 2009 to 2010 2010 to 2011 2011 to 2012 Find the growth rate or percentage growth rate, as appropriate. From 2005 to , the magazine sales exhibit a constant growth rate of thousand dollars per year. From to 2012, sales grew at a constant proportional rate, that is, each year's sales are times those of the previous year. This is a growth rate of % per year.
The following table shows the income from sales of a certain magazine, measured in thousands of dollars, at the start of the given year. Year Income 2005 7.73 2006 8.76 2007 9.79 2008 10.82 2009 11.85 2010 13.15 2011 14.60 2012 16.21 Over an initial period the sales grew at a constant rate, and over the rest of the time the sales grew at a constant percentage rate. Calculate differences and ratios to determine what these time periods are. (Round your answers to two decimal places.) Interval New income (in thousands of dollars) Old income (in thousands of dollars) Difference New Old ratio 2005 to 2006 2006 to 2007 2007 to 2008 2008 to 2009 2009 to 2010 2010 to 2011 2011 to 2012 Find the growth rate or percentage growth rate, as appropriate. From 2005 to , the magazine sales exhibit a constant growth rate of thousand dollars per year. From to 2012, sales grew at a constant proportional rate, that is, each year's sales are times those of the previous year. This is a growth rate of % per year.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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The following table shows the income from sales of a certain magazine, measured in thousands of dollars, at the start of the given year.
| Year | Income |
|---|---|
| 2005 | 7.73 |
| 2006 | 8.76 |
| 2007 | 9.79 |
| 2008 | 10.82 |
| 2009 | 11.85 |
| 2010 | 13.15 |
| 2011 | 14.60 |
| 2012 | 16.21 |
Over an initial period the sales grew at a constant rate, and over the rest of the time the sales grew at a constant percentage rate. Calculate differences and ratios to determine what these time periods are. (Round your answers to two decimal places.)
| Interval | New income (in thousands of dollars) |
Old income (in thousands of dollars) |
Difference |
|
||
|---|---|---|---|---|---|---|
| 2005 to 2006 | ||||||
| 2006 to 2007 | ||||||
| 2007 to 2008 | ||||||
| 2008 to 2009 | ||||||
| 2009 to 2010 | ||||||
| 2010 to 2011 | ||||||
| 2011 to 2012 |
Find the growth rate or percentage growth rate, as appropriate.
From 2005 to , the magazine sales exhibit a constant growth rate of thousand dollars per year. From to 2012, sales grew at a constant proportional rate, that is, each year's sales are times those of the previous year. This is a growth rate of % per year.
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