Question

The Mendes family bought a new house 8 years ago $129,000. The new house is now worth $186,000. Assuming a steady rate of growth, what was the yearly rate of appreciation? Round your answer to the nearest tenth of a percent (1.2% etc)

******PLEASE HELP****

Answer 1

so assuming simplet interest

find the change to find the interest
change=186000-129000=57000

simple interest=time times rate times principal
time is in years (8)
rate is in decimal
principal is amount invested (129000)

so
interest is 57000
57000=(8)(r)(129000)
57000=1032000r
divide both sides by 1032000
0.05523255813953488372093023255814=r
or
5.523255813953488372093023255814%
rounded
5.5%