Question

5. Landon bought a new car for $16,000 and it depreciates 4.5% every year. Write a function that describes

Answer 1

Answer:

The value C(t) of the car after  5  years is $12709.

Step-by-step explanation:

Given that Landon bought a new car for $16,000 and it depreciates 4.5% every year.

To find the value C(t) of the car after  5  years:

Initial value $C(0)= 16,000$

Depreciation rate is  $r=\frac{4.5}{100}$

∴ r=0.045

Period ,  t=5 years

$C(t)=C(0)(1-r)^t$

Substitute the values we get

$C(5)=16000(1-0.045)^5$

$=16000(0.955)^5$

$=16000(0.7943)$

∴ $C(5)=12708.8$

The value C(t) of the car after  5  years is  $ 12709