Question

Mr. Ortega bought his home for $242,800. It is

predicted to appreciate in value by 4.5% each
year. Which is the best prediction for the value
of Mr. Ortega's home in 15 years?
A. $406,690
B. $469,887
C. $1,092,600
D. $1,638,900

Answer 1

$469887

Explanation:

you should use compound interest formula which is

A=P(1+r/100) ^t

A = 242800 ( 1 + 0.045 ) ^ 15

when you punch this into a calculator you will get 469886.5771.....

when you round it off to a whole number the answer is $469887