Question 82622
f(t) = 50,000(1.05)^t

Property is bought in 1998.
By the beginning of 2007, 9 years have passed.
By the beginning of 2008, 10 years have passed.

Value of property by beginning of 2007 is f(9).

f(9) = 50,000(1.05)^9 = 77,566.41

Value of property by beginning of 2008 is f(10).

f(10) = 50,000(1.05)^10 = 81,444.73

Increase in value during 2007 is: 81,444.73 - 77,566.41 = 3,878.32

Ans: $3,878.32