Problema Solution
A $15,000 car depreciates at 20% each year. If you were to write an exponential model in the form , which value represents B in the function?
Answer provided by our tutors
The car's depreciation can be represented as:
y=15000(1-0.20)^x
where 'y' is the current value and 'x' is the number of years. So after 1 year the car is worth $12,000, after 2 years the car is worth $9,600, etc.
click here for current value of depreciated car
