### Home > CCA2 > Chapter 6 > Lesson 6.1.4 > Problem 6-52

6-52.

Suppose that a two-bedroom house in Nashville is worth $110,000 and appreciates at a rate of 2.5% each year. Homework Help ✎

How much will it be worth in 10 years?

General form:

Let

*x*= number of years and*y*= value of house. Write an equation using the general form of the exponential equation.*a*is the initial value of the house, and*b*is the multiplier.When will it be worth $200,000?

Using the equation in part (a), guess and check values for

*x*. Your answer will be approximate.In Homewood, houses are depreciating at a rate of 5% each year. If a house is worth $182,500 now, how much will it be worth two years from now?

Write another equation. Note that the value is depreciating this time.