In one community college, the cost per credit hour for in-state students has been increasing by $3 a year. In another community college, it has been increasing by 9% per year. This year, the cost is $65 at both colleges. To the nearest dollar, what was the positive difference in costs 2 years ago?
Q. In one community college, the cost per credit hour for in-state students has been increasing by $3 a year. In another community college, it has been increasing by 9% per year. This year, the cost is $65 at both colleges. To the nearest dollar, what was the positive difference in costs 2 years ago?
Calculate Cost 2 Years Ago: Calculate the cost per credit hour 2 years ago for the first community college.The cost has been increasing by $3 a year, so 2 years ago, the cost would have been $3 less per year for 2 years.Cost 2 years ago = Current cost - (2 years * $3/year increase)= $65 - (2 * $3)= $65 - $6= $59
Calculate Cost Increase: Calculate the cost per credit hour 2 years ago for the second community college.The cost has been increasing by 9% per year. Let's denote the cost 2 years ago as C.We know that the cost this year is $65, which is after two 9% increases.So, we can set up the equation: C×(1+9%)2=$65C×(1.09)2=$65C=$65/(1.09)2C≈$65/1.1881C≈$54.73, which we round to the nearest dollar to get \$\(55\).
Calculate Cost Difference: Calculate the positive difference in costs per credit hour between the two colleges \(2\) years ago.\(\newline\)Difference = Cost at first college \(2\) years ago - Cost at second college \(2\) years ago\(\newline\)= \(\$59\) - \(\$55\)\(\newline\)= \(\$4\)
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