Question

The value of a property is increasing at the rate of 25%
every year. By what percent will the value of property
increase after 3 years?

Answer 1

Answer:

The value of property increasing = 25% per year

The value of property increased after 3 years = 25/100*3 = 12%

Answer 2

Answer:

Let the property be Rs. m

Value of property after 1 year = m+25% of m

= m+¼m = 4m+1m/4

= Rs. 5m/4

Value of property after 2 years = 5m/4+25% of 5m/4

= 5m/4+¼×5m/4

= 5m/4 + 1×5m/4

= 5m/4+5m/4

= Rs. 10m/4

Value of property after 3 years = 10m/4+25% of 10m/4

= 10m/4+¼×10m/4

= 10m/4 + 10m/4

= Rs. 20m/4

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