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Answer:
A) car 1: exponential
car 2: linear
B) car 1:
car 2:
C) Yes, there will be a significant difference of $1,100.40 which is approx 10% of the value of the cars after 10 years.
Step-by-step explanation:
<u>Part A</u>
Car 1: exponential as the projected value is not decreasing by the same amount each year
Car 2: linear as the projected value decreases by the same amount each year ($1000)
<u>Part B</u>
<u>Car 1</u>
General form of exponential function:
a = initial value = 18500
b = growth factor =
NB We have to change x to "x-1" since we are told in the table that <u>after</u> 1 year the car's value is 18500.
<u>Car 2</u>
General form of linear function:
<u>Part C</u>
Car 1 after 10 years:
Car 2 after 10 years:
Difference = 10600.40 - 9500 = 1100.40
Yes, there will be a significant difference of $1,100.40 which is approx 10% of the value of the cars after 10 years.