Answer the questions for the problem given below.

The average price of a home in a town was $178,000 in 2007 but home prices are rising by 5% per year.

a. Find an exponential function of the form Q=Q0(1+r)t (where r>0) for growth to model the situation described.

b. Fill the table showing the value of the average price of a home for the following five years.

Year equals =t. Average price

0 $178,000

1 $

2 $

3 $

4 $

5 $

(Do not round until the final answer. Then round to the nearest dollar asneeded.)