Mathematics

Colt Buchanan

3 October, 01:54

As cars get older they are worth less than when they were new. This is called depreciation. Assume that you bought a new 2015 car for $13,700 and that it depreciates at approximately 20% per year. An equation that will model the value of your car v (t) where t is the number of years since 2015, is V (t) = 13,700 (0.8) ^t

(A) find V (1). Explain what it means in terms of the value of the car

(B) you plan to the sell the car when it reaches half of what you initially bought it for. In what year will you sell the car?