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NikAS [45]
3 years ago
5

Joe and Linda have the opportunity to purchase a new home. The house in Glen Oaks is currently worth $250,000 but is predicted t

o be worth $270,000 in a year. What is the rate of appreciation for the house from one year to the next?
Mathematics
1 answer:
Dmitry [639]3 years ago
7 0

You can work out the percentage change and that would help you work out the rate of appreciation :)

The formula is ((new value - old value)/old value) * 100.

So you do \frac{270,000 - 250,000}{250,000} \times 100 = 8\%

Therefore the rate of appreciation is 8% p/a.

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