Answer:
£231,525
Step-by-step explanation:
We are told that the value of Lucy's house
In 2014 = £200,000
And the house increased by 5% every year
In 2015 , 5% of £200,000
= 5/100 × £200,000
=£10,000
Start of 2015 = £200,000 + £10,000
= £210,000
In 2016 , 5% of £210,000
= 5/100 × £210,000
=£10500
Start of 2016 = £210,000 + £10,500
= £220,500
In 2017 , 5% of £220,500
= 5/100 × £220,500
=£11,025
Start of 2017 = £220,500 + £11,025
= £231,525
Therefore the value of Lucy's house at the start of 2017 = £231,525.
