Background:

The historic Virginia home that ConfederateGen.Robert E. Leegrew up in hit the market (in April 2018) for $8.5 million. (Trapasso, C.)

Robert E. Lee's father Henry rented the home in 1812, according to The Washington Post. The family lived there for over 80 years, including Robert E. Lee from age five to when he went to West Point in 1825. He again visited five years after the Civil War ended, The Post reported. (Leayman, E.)

The home's other claim to fame is thatPresidentGeorge Washingtonalso dined and lodged there before the Lee family moved in. (Trapasso, C.)

Built in 1795, the brick house was listed on the National Register of Historic Places in 1986. (Trapasso, C.)

The home had been used as a residence until 1966. The Stonewall Jackson Memorial Foundation purchased the home andopened it to the public. Unable to make ends meet, the foundation sold the home in 2000 toMark and Ann Kingtonfor $2.5 million. (Trapasso, C.)

Calculate the annual compound growth rate of the house price since the house was sold toMark and Ann Kington(since 2000) until the house was listed for sale in April 2018. (Round the number of years to the whole number).Please show your work.

(8500000/2500000)^(1/18)-1=.0703 7.03%

Price of house in year 2000 at which Markand Ann Kington purchased = 2500000

April 2018 Price of House = 8500000

Number of years = 2018 -2000 = 18 years

Annual growth rate =( (Year 2018 price ie. future value /Year 2000 price i;e. present value)^(1/n))-1

((8500000/2500000)^(1/18))-1

=0.07 or 7%

So annual compounded growth rate is 7% or 7.03%

Question:

The home had been used as a residence until 1966. The Stonewall Jackson Memorial Foundation purchased the home in 1966 andopened it to the public. Unable to make ends meet, the foundation sold the home in 2000 toMark and Ann Kingtonfor $2.5 million. Calculate annual compound growth rate The Stonewall Jackson Memorial Foundation received.Please show your work.