Chemistry
Chemistry
10th Edition
ISBN: 9781305957404
Author: Steven S. Zumdahl, Susan A. Zumdahl, Donald J. DeCoste
Publisher: Cengage Learning
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Stetson Inc.'s sales for the 2021 were $16 million. Sales were $8 million 5 years earlier. (a) At what rate did
the sales grow? (b) Supose someone calculated sales growth for Stetson in part (a) as follows: "Sales
doubled in 5 years. This represents a growth of 100 % in 5 years; dividing 100% by 5 results in an estimated
growth rate of 20% per year" Explain what is wrong with this calculation.
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Transcribed Image Text:Stetson Inc.'s sales for the 2021 were $16 million. Sales were $8 million 5 years earlier. (a) At what rate did the sales grow? (b) Supose someone calculated sales growth for Stetson in part (a) as follows: "Sales doubled in 5 years. This represents a growth of 100 % in 5 years; dividing 100% by 5 results in an estimated growth rate of 20% per year" Explain what is wrong with this calculation.
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