A. In five years the price of a house in Vancouver is expected to be about 164% of today's price. If the trend continues, what percent of today's price would you expect the price of a house to be in 15 years?
B. The sum of two numbers is 24. One number is increased by 50% while the other is decreased by 50%. The sum of the two numbers is 28. What were the original numbers? (SHOW ALL WORK)
Let's assume that each year the price increase "a" percent. Then We have:
Price at year 1= Today + a*Today= Today*(1+a)
Price at year 2= Year 1+ a*Year 1= Today + 2*a*Today+ a^2*Today= Today*(1+a)^2
Price at year 3= ...
Two word problems involving percentages are solved.