Real Estate Math

A property was purchased for $325,000. It appreciated at 4% per year for 3 years. What is the current value?

A$364,000
B$365,622✓ Correct
C$366,000
D$364,500

Explanation

Year 1: $325,000 × 1.04 = $338,000. Year 2: $338,000 × 1.04 = $351,520. Year 3: $351,520 × 1.04 = $365,580.80 ≈ $365,622.

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