If inflation is 6% a year compounded annually, what will it cost in 21 years to buy a house currently valued at $230,000? Round to the nearest cent. Please explain

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Oddman answered
At the end of each year the price is (1 + .06) times what it was at the beginning of the year. At the end of 21 years, the price will be 1.06^21 times what it was at the beginning of that time.   $230,000*1.06^21 ≈ $781,899.63 You can type the underlined expression into a Google search box to evaluate it if your calculator doesn't do that sort of math.

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