Question

[25 points]

Answer 1

Answer:

the value of the house when Lisa bought it is 12 £

the value of the house when Lisa bought it is x (x > 0)(£)

because the value of the house increased 1.5% each year for 2 years

=> at the end of 2 years, the value of the house is

[(100 + 1.5)x]*(100 + 1.5) = 10302.25x

=> 10302.25x = 123 627

=> x = 12