Answer:
a. $28,800
b. $16,000
Step-by-step explanation:
A.
20,000 * 20% = 4,000
so thats how much more it will be next year
add that together
20,000 + 4,000 = 24,000
so thats one year from now and we have to find two
multiply 20% times next years value
24,000 * 20% = 4,800
so add that to 24,000
24,000 + 4,800 = 28,800
so in two years the value will be $28,800
B.
20,000 * 20% = 4,000
so thats how much less it was worth one year ago
so you have to subtract it
20,000 - 4,000 = 16,000
so it was worth $16,000 one year ago
