Answer: £200,000
Explanation:
From the question, we are informed that the value of Rita's house increased by 5% and that her house then had a value of £210 000.
The value of Rita's house before the increase will be calculated as:
= 210,000 ÷ (100% + 5%
= 210000 ÷ 105%
= 210000 ÷ 105/100
= 210000 × 100/105
= £200,000