Michael and Sandy purchased a home for $100,000 five years ago.If its value appreciated at 6% annually,what is it worth today? (Round the answer to the nearest unit place.)
A)$100,000
B)$106,000
C)$130,000
D)$133,823
E)$135,603

Question

Quizplus · Accepted Answer

After five years, the value of the home will be:

V = 100,000 * (1 + 0.06)^5
V = 133,823

Therefore, the answer is (D) $133,823, rounded to the nearest unit place.

Michael and Sandy Purchased a Home for $100,000 Five Years