If the key to Graceland costs $750 today and appreciates in value by 15% in one year, what will it be worth one year from today?
750 * 1.15 = ?
To determine the value of the key to Graceland one year from today, we first need to calculate the appreciation amount.
The appreciation rate is given as 15%. To find the appreciation amount, we multiply the current value of the key by the appreciation rate:
Appreciation amount = Current value * Appreciation rate
= $750 * 0.15
= $112.50
Next, we add the appreciation amount to the current value to find the future value of the key:
Future value = Current value + Appreciation amount
= $750 + $112.50
= $862.50
Therefore, the key to Graceland will be worth $862.50 one year from today.