In a suburb of Houston, housing costs have been increasing at 5.2% per a year compounded annually for the past 8 years. A house with a current value of $26,000 would have been worth how much 8 years ago?

Answer 1

Are you sure that's $26,000?

I bought a small inexpensive house in 1976 for $30,000. I sold it 14 years ago for $90,000.

Answer 2

I'm Sure.