The equation to estimate the value of the house is y = 150,000e^(0.0597)x
Exponential functions are inverse of logarithmic functions. A standard exponential function is given as:
y =y0e^x
where
a is the initial value
x is the time
If David bought a house for $150,000 in 2000 and after 4 years, its value
increased to $190,000, then;
y = 190000
a = 15000
x =4 years
Substitute
190,000 = 150,000e^4r
19 = 15e^4r
19/15 = e^4r
ln1.27 =4r
r = ln1.27/4
r = 0.0597
Hence the equation to estimate the value of the house is y = 150,000e^(0.0597)x
Learn more on exponential function here; https://brainly.com/question/2456547
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