A home's value increases at an average rate of 5.5% each year. The current value is $120,000. What function can be used to find the value of the home after x years?

For the answer to the question above,

5.5% converted to a decimal is 0.055.

However, the house already retains 100% of it's value each year, with 5.5% as an increase.

therefore we can use the function f (x) = 120,000 (1.055) x to solve this.