Question

7. The value of a computer has a decay factor of 0.85 per year. After 2 years, the computer is worth $1445. What was the original value of the computer?

Answer 1

Answer:

$64222.22

Step-by-step explanation:

If we call the original value as x, we can write:

1445 = x * (0.15)²   (Note: We write 1 - 0.85 = 0.15 and not 0.85 because 0.85 is the decay factor)

1445 = 0.0225x

x ≈ 64222.22

Answer 2

Answer:

$ 2000

Step-by-step explanation:

Let the original value be $ X

Decay factor = 0.85

Time = 2 years

Reduced value = $ 1445

Now,

Reduced value = original value * (decay)${}^{number \: of \: years}$

Plug the values

$1445 = x \times {(0.85)}^{2}$

Evaluate the power

$1445 = x \times 0.7225$

$x = \frac{1445}{0.7225}$

Calculate

$x = 2000$

Hope this helps...

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