Original value of the home was 600,000. If possible with explanation of what and how to use the formula.

3. Five years later, in the midst of Covid-19 crisis, the real estate market has the following new developments. (a) Home-buyers from Manhattan flock to Hoboken for more space, driving up the market value of that starter home to $800,000. Assuming annual compounding, what's the couple's annual rate of return on investing in the starter home, if they decide to sell their home