Question

In 2009, Internationale Outstanding University (IOU) had an enrollment of 27,000 undergraduates, each of whom paid $6,216 per year in tuition. In 2010, enrollment was 27,628 students, and tuition was raised 5.4%. In 2011, IOU received $186.8M in revenue from student tuition, and enrollment was 27,570 students. In 2012, it is estimated that tuition will be $7,082 and IOU needs to receive 6.5% more total revenue from tuition than in 2011.

Assuming the 2012 revenue and student enrollment goals are met, what will be the average annual growth rate of tuition for 2009 to 2012?

Answer 1

Year	2009	2010	2011	2012
Students	27,000	27,628	27,570	28,091
Tutions	6,216	6,551.664	6,775.48	7,082
Revenue	$167.8 M	$181.009 M	$186.8 M	$198.942 M
Average annual growth rate of Tutions		5.4%	3.416%	4.524%