Answer:
The exponential model for the value of the home is .
Step-by-step explanation:
According to the give information 2002 is the initial year and the value of the hom in 2002 is $120,000.
The model will have the form
Where V₀ is initial value of home, k is a constant and t is number f years after 2002.
The value of home in 2007 is $150,000. Difference between 2007 and 2002 is 5 years. Therefore the value of function is 150000 at t=5.
Take ln both sides.
()
Therefore exponential model for the value of the home is .
Where t is number of years after 2002.