Answer:
The annual growth rate is of 1.39%.
The value of the house in 2010 was $155,355.5
Step-by-step explanation:
The value of a house after t years is given by the following equation:

In which
is the initial value and r is the annual growth rate.
In the year 1985, a house was valued at $110,000. By the year 2005, the value had appreciated to $145,000. What was the annual growth rate between 1985 and 2005?
We want to find r, when
and
.
I use V(20) since 2005 is 20 years after 1985.
So



Applying the 20th root to both sides.


So the annual growth rate is of 1.39%.
What was the value of the house in the year 2010?
2010 is 25 years after 1985. So


The value of the house in 2010 was $155,355.5