Question

‼️Finbar bought his home for $150,000 in 2010. Property values have increased 10% every year since she has owned the home. Which of the following equations can be used to represent the price of the home x years after 2005?

y = 150.000(1.5)*
y = 150,000(1.1)*
y = 150.000(0.9)
y = 150,000(0.5)

Answer 1

Y=150,000*(1.1)*

Step-by-step explanation: As Every year the rate of increase is 10% therefore the rate 1+10%=1.1, and X is number of years. So, (1.1)*, and after x years to get the correct value you can multiply, y=150,000*(1.1)*

Answer 2

`y=150,000(1.1)^(x-5)`

Explanation:

The exponential growth model is defined as

`y=a(1+r)^t` . .... (1)

where, a is the initial value, r is growth rate and t is the number of years.

It is given that bought his home for $150,000 in 2010.

Initial value = 150,000

Growth rate = 10% = 0.1

x is number of years after 2005. Property values have increased 10% every year since she has owned the home (2010).

t = x - 5

Substitute a=150,000, r=0.1 and t=x-5 in equation (1).

`y=150,000(1+0.1)^(x-5)`

`y=150,000(1.1)^(x-5)`

Therefore, the required function is
`y=150,000(1.1)^(x-5)` .