document.write( "<A HREF=/cgi-bin/jump-to-question.mpl?question=71853>Question 71853</A>: <I><SPAN STYLE=\"word-break: break-all;\"> If a piece of real estate purchased for $50,000 in 1998 appreciates at the rate of 5% per year, then its value t years after the purchase will be f(t)=50,000(1.05^t).  According to this model, by how much will the value of this piece of property increase between the years 2007 and 2008?\r<BR>\n" );
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document.write( "I'm not good with word problems. </SPAN>\n" );
document.write( "</I><HR><TABLE width=100%><TR><TD><B><A HREF=http://www.algebra.com/>Algebra.Com's</A> Answer #51472 by </B><A HREF=/tutors/aboutme.mpl?userid=stanbon><B>stanbon(75887)</B></A><img src=\"/images/stars/stars-13.gif\" alt=\"\" >&nbsp;<A HREF=/tutors/aboutme.mpl?userid=stanbon><IMG SRC=http://www.algebra.com/images/aboutme-small.gif BORDER=0 alt=\"About Me\" VALIGN=MIDDLE></A>&nbsp;<IMG SRC=http://www.algebra.com/images/nopicture.jpg><BR>You can <A HREF=\"/cgi-bin/embed-solution.mpl?show=1&solution=51472\">put this solution on YOUR website!</A><BR><SPAN STYLE=\"word-break: break-all;\"> If a piece of real estate purchased for $50,000 in 1998 appreciates at the rate of 5% per year, then its value t years after the purchase will be f(t)=50,000(1.05^t).  According to this model, by how much will the value of this piece of property increase between the years 2007 and 2008?\r<BR>\n" );
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document.write( "Value in 1998:50000<BR>\n" );
document.write( "Value in 2007: 50,000(1.05)^9=77566.42<BR>\n" );
document.write( "Value in 2008: 77566.42(1.05)=81444.73<BR>\n" );
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document.write( "Increase = $3878.32<BR>\n" );
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document.write( "Cheers,<BR>\n" );
document.write( "Stan H. </SPAN>\n" );
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