Question

Housing value are appreciating at a rate of 11.3% a year how much will your 810,000 house be worth in 5 years if this rate of appreciation continues

Answer 1

`\qquad \textit{Amount for Exponential Growth} \\\\ A=P(1 + r)^t\qquad \begin{cases} A=\textit{accumulated amount}\\ P=\textit{initial amount}\dotfill &810000\\ r=rate\to 11.3\%\to (11.3)/(100)\dotfill &0.113\\ t=\textit{years}\dotfill &5\\ \end{cases} \\\\\\ A=810000(1 + 0.113)^(5) \implies A=810000(1.113)^5\implies A \approx 1383441.63`