Contemporary Mathematics for Business and Consumers 7th Edition by Robert Brechner ,George Bergeman

Exercise 119

Solve the following word problems by using Table 11-1 or 11-2. When necessary, create new table factors. Round dollars to the nearest cent and percents to the nearest hundredth of a percent.
Applegate Industries is planning to expand its production facility in a few years. New plant construction costs are estimated to be $4.50 per square foot. The company invests $850,000 today at 8% interest compounded quarterly.
a. How many square feet of new facility could be built after 3
years? Round to the nearest whole square foot.
b. If the company waits 5 years and construction costs increase to $5.25 per square foot, how many square feet could be built? Round to the nearest whole square foot. What do you recommend?