The exponential equation that can model the value of the camper van , in x years is y = 38000*(0.85)ˣ .
In the question ,
it is given that
the present value of the camper van (P₀) = $38000
given the depreciation rate is 15% each year (r)= -0.15
The future value y ,of the camper van can be given by the formula
y = P₀*(1 + r)ˣ
On putting the values , we get
y = 38000*( 1 - 0.15)ˣ
y = 38000*(0.85)ˣ
Therefore , The exponential equation that can model the value of the camper van , in x years is y = 38000*(0.85)ˣ .
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