Question

The cost of a commercial coffee maker machine was $1,000 when purchased 7 years ago. It has the capacity of 100-cups. What would be the cost of a higher capacity 200-cup machine if the exponent value is 0.23?

Answer 1

Cost of 100-cups coffee maker = $1,000

Exponent value = 0.23

Calculate the cost of 200-cup coffee machine -

Cost = Cost of 100-cup coffee machine * (Capacity of large machine/capacity of small machine)^{exponent value}

Cost = $1,000 * (200/100)^0.23

Cost = $1,000 * (2)^0.23

Cost = $1,000 * 1.1728

Cost = $1,172.80

The cost of higher capacity 200-cup machine is the $1,172.80