So for this we will be using an exponential equation to help us find the values.
Since $600 was the initial rent value, 600 is the a variable.
And since the rent is increasing by 10%, add 0.1 (10% in decimal form) to 1, which the sum is 1.1. 1.1 is your b variable.
Putting our equation together, it's [tex] y=600(1.1)^x [/tex] , and since time is the independent variable you plug in the numbers into the x variable to solve (x = # of years after the initial year.)
[tex] y=600(1.1)^0\\y=600(1)\\y=600\\\\y=600(1.1)^1\\y=\$660\\\\y=600(1.1)^2\\y=600(1.21)\\y=\$726\\\\y=600(1.1)^3\\y=600(1.331)\\y=\$798.60\\\\y=600(1.1)^4\\y=600(1.4641)\\y=\$878.46\\\\y=600(1.1)^5\\y=600(1.61051)\\y=\$966.31 [/tex]
