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rosijanka [135]
2 years ago
5

the value of a car when purchased in 2008 was $21,500. It loses 12% of its value every year. What is the value of the car in 201

9?
Mathematics
1 answer:
shusha [124]2 years ago
6 0

Answer: the value of the car in 2019 is $5269

Step-by-step explanation:

It loses 12% of its value every year. This means that the value of the car is decaying exponentially. We would apply the formula for exponential decay which is expressed as

A = P(1 - r)^t

Where

A represents the value of the car after t years.

t represents the number of years.

P represents the initial value of the car.

r represents rate of decay.

From the information given,

P = $21500

r = 12% = 12/100 = 0.12

t = 2019 - 2008 = 11 years

Therefore

A = 21500(1 - 0.12)^11

A = 21500(0.88)^11

A = 5269

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