The housing market in Dallas, Texas, experienced a 9.8% increase in the past year. If the median home price was $96,812 one year
ago, what is the current median home price? Round your answer to the nearest dollar.
1 answer:
Answer: $106,300
<u>Step-by-step explanation:</u>
A = P(1 + r)
- A is the accrued amount (balance)
- P is the principal (initial amount)
- r is the rate --> convert to a decimal
Given: P = 96,812 r = 9.8% --> 0.098
A = 96,812(1 + 0.098)
= 96,812(1.098)
= 106,299.576
rounded to the nearest dollar is $106,300
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