How much is House A worth after two years? Round your answer to the nearest dollar.
2 answers:
Answer:
see below
Step-by-step explanation:
Take the original value times the appreciation and add the original value
Do this for each year
House A
year 1:
new value = 125260+ 125260* .05
=125260 +6263
=131523
year 2:
new value = 131523+131523* .05
131523+6576.15
138099.15
Nearest dollar 138099
House B
year 1:
new value = 120160+ 120160* .06
=120160 +7209.60
=127369.6
year 2:
new value = 127369.60+127369.6* .05
127369.60+7642.18
135011.78
Nearest dollar 135012
Answer:
A: $138,099
B: $135,012
Step-by-step explanation:
A: growth rate: (100+5)/100 = 1.05
125260 × 1.05² = 138,099.15
B: growth rate: (100+6)/100 = 1.06
120160 × 1.06² = 135,011.776
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