The price of a computer component is decreasing at a rate of 13% per year. State whether this decrease is linear or exponential
. If the component costs $90 today, what will it cost in three year
1 answer:
Answer:
$59.27
Step-by-step explanation:
It is exponential decrease.
After each year goes by its worth 100 - 0.13 = 0.87 of the previous value.
The equation of decrease is V = 90(0.87)^t where t = the number of years.
So after 3 years it is worth 90(0.87)^3
= $59.27.
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