Question

In 2007, Linda purchased a house for $120,000. In 2017, the house was worth $245,000. Find the average annual rate of change in dollars per year in the value of the house. Round your answer to the nearest dollar. (Let x = 0 represent 2000)

Answer 1

$12,500 per year

Explanation:

rate of change = change in dollars/change in years

So,

(245000 - 120000)/(2017 - 2007) = 125000/10 = $12,500 per year