Question

The production of a mixi company in 1996 was 8000 mixies. Due to increase in demand it increases its production by 15% in the next two years and after two years its demand decreases by 5%. What will be its production after 3 years?

Answer 1

$$\begin{gathered} \mathrm{Production}\mathrm{after}\mathrm{three}\mathrm{years}=\mathrm{P}{\left(1+\frac{{\mathrm{R}}_1}{100}\right)}^2\left(1-\frac{{\mathrm{R}}_2}{100}\right) \\ =8,000{\left(1+\frac{15}{1,000}\right)}^2\left(1-\frac{5}{100}\right) \\ =8,000{\left(1.15\right)}^2\left(0.95\right) \\ =10,051 \\ \mathrm{Thus},\mathrm{the}\mathrm{production}\mathrm{after}\mathrm{three}\mathrm{years}\mathrm{will}\mathrm{be}10,051. \end{gathered}$$