Question

Belinda is thinking about buying a house for $286,000. The table below shows the projected value of two different houses for three years:
Number of years 1 2 3
House 1 (value in dollars) 294,580 303,417.40 312,519.92
House 2 (value in dollars) 295,000 304,000 313,000


Part A: What type of function, linear or exponential, can be used to describe the value of each of the houses after a fixed number of years? Explain your answer. (2 points)

Part B: Write one function for each house to describe the value of the house f(x), in dollars, after x years. (4 points)

Part C: Belinda wants to purchase a house that would have the greatest value in 25 years. Will there be any significant difference in the value of either house after 25 years? Explain your answer, and show the value of each house after 25 years. (4 points)

Answer 1

Answer: Part C: House 1 at 25 is at

$598820.5 (rounded to the

nearest cent) and House 2 is at

$511000. House 1 has a higher

value. I hope that helps