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dimaraw [331]
3 years ago
9

Moe bought a home for $200,000 in 2012. Every year the city appraiser has said Moe's home has increased in value 5% What it Moe'

s home worth in 2019?
a. $230,000
b. $281420
c. $268,019
d. $269972​
Mathematics
1 answer:
kotykmax [81]3 years ago
8 0

Given :

Moe bought a home for $200,000 in 2012. Every year the city appraiser has said Moe's home has increased in value 5% .

To Find :

What it Moe's home worth in 2019.

Solution :

We know, formula of compound interest is :

A = P ( 1 + \dfrac{R}{100})^n\\\\A = 200000\times ( 1 + \dfrac{5}{100})^{2019-2012}\\\\A = 200000\times ( 1 + \dfrac{1}{20})^7\\\\A = \$ 281420.0

Hence, this is the required solution.

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