Question

Consider the following observations of a series: Year 1 Year 2 Year 3 Year 4 99...

Consider the following observations of a series:

Year 1 Year 2 Year 3 Year 4
99 119 159 169



a. Calculate the growth rates for Year 1–Year 2, Year 2–Year 3, and Year 3–Year 4. (Round your answers to 4 decimal places.)

Growth Rates:

Year 1-Year 2______

Year 2-Year 3______

Year 3- Year 4______

b. Calculate the average growth rate. (Enter your answer as a percentage, rounded to 2 decimal places, using intermediate calculations rounded to at least 4 decimal places.)

Average growth rate:______%

  

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Answer #1

Year 1-Year 2 growth rate =(119-99)/99 =0.2020
Year 2-Year 3 growth rate =(159-119)/119=0.3361

Year 3-Year 4 growth rate =(169-159)/159=0.0629

b)

Average growth rate =(0.2020+0.3361+0.0629)/3=0.2003 ~ 20.03 %

(please try 19.51 % if this comes wrong and reply)

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