PSAT Math Multiple-Choice Question 830: Answer and Explanation

Question: 830

Use the portfolio valuations from the years given in the preceding question. If the overall portfolio is growing at a linear rate, what should the value of the portfolio be in 2030?

• A. $180,000
• B. $260,000
• C. $340,000
• D. $580,000

Correct Answer: B

Explanation:

(B) Based on the numbers in the previous question, the portfolio is increasing by $60,000 every 10 years. You add $60,000 to the 2020 value of $200,000 to get $260,000. Alternatively, you could calculate the slope of increase. However, noticing this simple pattern will save you time.