Mathematics

Sage Jarvis

19 August, 11:50

Edward purchased his home for $89,000. For the first three years after he moved in, the real estate market was very lively, so his property value grew by 4.8% every year. For the next five years, the market slowed down somewhat, and his property value grew by 2.6% every year. How much had the value of Edward's home increased after eight years, to the nearest hundred dollars?

a.

$25,700

b.

$27,500

c.

$30,000

d.

$13,200