Answer:
$4,457,391.19
Step-by-step explanation:
The sum of n terms of a geometric sequence with common ratio r and initial value "a" is ...
S = a(r^n -1)/(r -1)
Here, your growth factor is r = 1 +6% = 1.06. So, the sum of expenses over 35 years will be ...
S = $40,000(1.06^35 -1)/(1.06 -1) = $4,457,391.19
