Question
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In the month of January, a cerlain restaurant claimed it sold 9,000 burgers and expects sales to grow at a rate of \( 48 \% \) per month over the next year. Which formula will determine the number of burgers the restaurant expects to sell this year? \( \sum_{n=0}^{11}(1.048)^{n}(9,000) \) \( \sum_{n=1}^{12}(1.048)^{n}(9,000) \) \( \sum_{n=1}^{12}(4.8 n+9,000) \) \( \sum_{n=0}^{12} 4.8 n+9,000 \)

Ask by Murphy Lowe. in the United States
Jan 21,2025

Real Tutor Solution

Tutor-Verified Answer

Answer

The correct formula to determine the number of burgers expected to be sold this year is: \[ \sum_{n=0}^{11} (1.048)^{n} \times 9,000 \]

Solution

To determine the number of burgers the restaurant expects to sell over the next year with a **48% monthly growth rate**, we need to use an exponential growth formula. Here's a step-by-step explanation: 1. **Initial Sales**: In January, the restaurant sold **9,000 burgers**. 2. **Growth Rate**: Sales are expected to grow at **48% per month**. This means each subsequent month, the sales are multiplied by **1.48** (since 48% growth translates to multiplying by 1 + 0.48). 3. **Exponential Growth Formula**: The number of burgers sold each month can be represented as: \[ \text{Sales in month } n = 9,000 \times (1.48)^n \] where \( n \) starts from **0** (for January) and goes up to **11** (for December). 4. **Total Sales Over the Year**: To find the total number of burgers sold over the entire year, you sum the sales for each month: \[ \sum_{n=0}^{11} 9,000 \times (1.48)^n \] However, looking at the provided options, there's a slight discrepancy in the growth rate factor (1.048 instead of 1.48). Assuming this is a typo and should represent 48% growth, the closest and correct structure is: \[ \sum_{n=0}^{11} (1.048)^n \times 9,000 \] **Correct Option:** \[ \sum_{n=0}^{11} (1.048)^{n}(9,000) \] Answer: \[ \sum_{n=0}^{11}(1.048)^{n}(9,000) \]

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The Deep Dive

To calculate the projected burger sales over a year with a growth rate of \(48\%\), you would use the formula for the sum of a geometric series. This translates into expecting sales of \(9,000\) burgers in January, which grows by factor \(1.048\) each month for the next 12 months. Thus, the correct formula intuits that sales start in January (month 0), making the first option fit perfectly. The chosen formula captures the increase over each month across the year, leading to a robust total at the end. It's essentially saying, "Let’s take that delicious batch of burgers and see how they multiply month by month!" This growth model is commonly used in business forecasting. Companies often employ such exponential growth formulas to anticipate changes in sales, understanding that with consistent quality and marketing, customer interest can grow rapidly over time. In this case, effective marketing and continuous quality improvement could lead to astonishing sales growth!

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