A house was valued at
$285,000
. Over several years, the value increased by
18%
, giving the house a new value.
(a) Fill in the blank to write the new value in terms of the old value.
Write your answer as a decimal.
New=value×Oldvalue
(b) Use your answer in part (a) to determine the new value.
Newvalue:$
(a) New value = 1.18 × 285,000 = 336,300 (rounded to the nearest hundred)
Answer: 1.18
(b) New value = $336,300 (rounded to the nearest hundred)
(a) To write the new value in terms of the old value, we can use the formula: New value = Old value + (Percentage increase/100) * Old value
In this case, the percentage increase is 18%. So, the formula becomes:
New value = Old value + (18/100) * Old value
Simplifying,
New value = Old value + 0.18 * Old value
(b) To determine the new value, we substitute the given Old value of $285,000 into the formula from part (a):
New value = $285,000 + 0.18 * $285,000
Solving this equation:
New value = $285,000 + $51,300
New value = $336,300
So, the new value of the house after the increase is $336,300.