Geometric progression examples

Question

Lisa earned RM2000 in a certain year from a certain source and her earnings from that year continued to increase at the rate of 5% per annum. Calculate, to nearest RM, the total amount she received from the source, in that year and the next seven years

Answer 1

a2 = 2000(1.05) = RM2100 in 2nd year

a7 = 2000)1.05)^6 = about RM2680.19 in 7th year