b) The price of a house increases exponentially over time. A house presently costs $400,000, and it future
value can be modeled by the equation: A = 400,000 (1.04)*, where A is the value of the home after x years.
i) What percent is the house's value going up each year?
ii) What is the value of the home in 15 years?
ii) Assuming the trend continues, when will the value of the home double?
+4
