Answer: C(t) = 28000(0.811)^t
Step-by-step explanation:
it begins to depreciate at a rate of 18.9% annually. This means that the rate at which the value is decreasing is exponential. We would apply the formula for exponential growth which is expressed as
y = b(1 - r)^ t
Where
y represents the value of the car after t years.
t represents the number of years.
b represents the initial value of the car.
r represents rate of depreciation.
From the information given,
P = 28000
r = 18.9% = 18.9/100 = 0.189
Therefore
y = 28000(1 - 0.189)^t
y = 28000(0.811)^t
Where C(t) represents y, the function becomes
C(t) = 28000(0.811)^t
