Answered

Westonci.ca offers fast, accurate answers to your questions. Join our community and get the insights you need now. Our Q&A platform provides quick and trustworthy answers to your questions from experienced professionals in different areas of expertise. Get detailed and accurate answers to your questions from a dedicated community of experts on our Q&A platform.

Alex purchased a new car for $28,000. The car's value depreciates 7.25% each year. What will be the value of the car 5 years after it is purchased? Round your answer to the nearest dollar.

Sagot :

W0lf93
First Year - $28,000 with a 7.25% depreciation = 28000 * 7.25% = 2,030 - 28000 = $25,970 Second Year - $25,970 with a 7.25% depreciation = 25970 * 7.25% =1883 - 25970 = $24,087 Third Year - $24,087 with a 7.25% depreciation = 24087 * 7.25% = 1746 - 24087 = $22,341 Fourth Year = $22,341 with a 7.25% depreciation = 1620 - 22341 = $20,721 Fifth Year = $20.721 with a 7.25% depreciation = 1502 - 20721 = $19,219
carlosego

For this case we have a function of the form:

[tex] y = A * (b) ^ x
[/tex]

Where,

A: initial value

b: decrease rate

x: time in years

Substituting values we have:

[tex] y = 28000 * (0.9275) ^ x
[/tex]

For the year number 5 we have:

[tex] y = 28000 * (0.9275) ^ 5

y = 19219
[/tex]

Answer:

the value of the car 5 years after it is purchased will be:

[tex] y = 19219 [/tex]

We hope our answers were useful. Return anytime for more information and answers to any other questions you have. Your visit means a lot to us. Don't hesitate to return for more reliable answers to any questions you may have. Keep exploring Westonci.ca for more insightful answers to your questions. We're here to help.