GCSE Secondary Maths Age 13-17 - Ratio, Proportion & Rates of Change: Percentages - Explained

The video tutorial explains how to calculate the depreciation of a house's value over two years and the subsequent increase in the third year. It begins with an introduction to the initial house value and the concept of depreciation. The tutorial then details the step-by-step calculation of depreciation using percentages, demonstrating that the overall depreciation is 6.4% rather than the incorrect 6.5% initially assumed. The video continues by calculating the percentage increase in the house's value in the third year, resulting in a 3.15% increase. The tutorial concludes with a summary of key points and offers tips for solving similar math problems, emphasizing the importance of careful reading and planning.

What was the initial purchase price of Ebra's house?

• £135,000

• £150,000

• £145,000

• £140,000

How much did Ebra's house depreciate in the first year?

• 3%

• 2.5%

• 6.5%

• 4%

What is the correct overall depreciation percentage after two years?

• 6.5%

• 5.5%

• 7%

• 6.4%

What was the value of Ebra's house at the start of the third year?

• £130,000

• £135,720

• £145,000

• £140,000

By how much did the value of Ebra's house increase in the third year?

• £3,500

• £4,500

• £5,000

• £4,280

What was the percentage increase in the value of Ebra's house in the third year?

• 3.5%

• 3.15%

• 4%

• 2.5%

What is a key takeaway from the discussion on compound interest?

• Depreciation is always linear.

• Careful reading and understanding of information is crucial.

• Compound interest is irrelevant in real estate.

• Always add percentages directly.