Annual sales for a company are $125,000 and are increasing at a rate of 8% per year. Use an exponential function to find the annual sales after 5 years. Round to the nearest cent.

sales after 5 years is $183666

Step-by-step explanation:

exponential function standard form:

a=P (1+r) ^t

where p=principal (starting amount) (125,000)

r=rate of change (0.08)

t=time (5)

so

a=125,000 (1+0.08) ^5

a=125,000 (1.08) ^5

a=125,000 (1.46)

a=183666