Question

house has increased in value by 35% since it was purchased. If the current value is $567,000, what was the value when it was purchased?

Answer 1

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Answer:

$420,000

Explanation:

If we say the current value (v) is 35% more than the purchase price (p), then we have ...

v = p + 0.35·p

567,000 = 1.35p

Dividing by the coefficient of p, we get ...

p = 567,000/1.35 = 420,000

The value when it was purchased was $420,000.