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a house purchased for 159000 in 2000 increased at a rate of 6% per year. how much will the house cost in 2010?

User Iiirxs
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1 Answer

4 votes

Final answer:

The house will cost $284,554.53 in 2010.

Step-by-step explanation:

To find the cost of the house in 2010, we need to calculate the increase in price from 2000 to 2010. The house is increasing at a rate of 6% per year, so we can calculate the total increase over the 10-year period by multiplying the initial cost by (1 + rate of increase)^number of years.

First, we calculate (1 + 0.06)^10 = 1.790847. Then, we multiply this value by the initial cost of $159,000.

Therefore, the house will cost $284,554.53 in 2010.

User David Richards
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