Mike and beatrice purchase a house for $200,000. if the equation v = 200,000(1.03)x represents the value of the house after x years, how many years will it take the house to be worth approximately $225,000?
a) 4 years
b) 5 years
c) 6 years
d) 7 years

Option A - 4 years

Step-by-step explanation:

Given : Mike and Beatrice purchase a house for $200,000. If the equation represents the value of the house after x years.

To find : How many years will it take the house to be worth approximately $225,000?

Solution :

The given equation is

x is the number of years and V is the price of house.

In how many years the price became $225,000

V=$225,000

Substitute in the equation,

Taking log both side,

Apply logarithmic formula,

Approximately x=4 years.

Therefore, Option A is correct.