Real Estate Math

A Hawaii home appreciates at 4% per year for 5 years. If the original value was $700,000, what is the approximate value after 5 years?

A$812,400
B$840,000
C$700,000✓ Correct
D$875,000

Explanation

Using compound appreciation: $700,000 × (1.04)^5 = $700,000 × 1.

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