Question

The Mendez family just bought a home for $180,000. If the value of the home increases at a rate of 3% per year, use an exponential growth function to find the value of the home in 10 years.

Answer 1

$5580000

Explanation:

if this is simple interest the formula is A=P(1+rt)

A=final formula

P=initial principal balance

r=annual interest rate

t=time (in years)

so, A=180,000(1+3x10) which equals 5580000