Answer:
$64,843.56
Step-by-step explanation:
If you purchase a parcel of land today for $25,000 and you expect it to appreciate 10 percent per year in value, how much will your land be worth 10 years from now.
Appreciation value = (1+r)^n × PV
Where,
r= appreciation rate = 10%
n= number of years = 10 years
PV = present value = $25,000
Appreciation value = (1+r)^n × PV
= (1 + 10%)^10 × 25,000
= (1 + 0.1) ^10 × 25,000
= (1.1)^10 × 25,000
= 2.5937424601 × 25,000
= 64,843.5615025
Approximately $64,843.56
The land will be worth $64,843.56 in 10 years from now