Question

the mendez family just bought a home for 180,000 if the value of the home increases at a rate of 3% per year, use an exponential function to find the approximate value of the home after 10 years

Answer 1

241904.9483

≈ 241905

Explanation:

Given that,

current amount of house = 180,000

value of the home increases at a rate of 3% per year

To find,

approximate value of the home after 10 years using exponential function

Equation

a(1 + r)^t

where a is the amount of house = 180,000

r is the interest rate per annum = 3% = 3/100 = 0.03

t is the number of years = 10

180,000 (1+0.03)^10

180,000 (1.03)^10

241904.9483

≈ 241905