Real Estate Math
A home purchased for $250,000 appreciates at 4% per year. What is its value after 2 years?
A$260,000
B$270,000
C$270,400✓ Correct
D$280,000
Explanation
Year 1: $250,000 × 1.04 = $260,000. Year 2: $260,000 × 1.04 = $270,400. Compound appreciation over 2 years at 4% yields $270,400.
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