Question

After a new $28,000 car is driven off the lot, it begins to depreciate at a rate of 18.9% annually.

Answer 1

Answer:

C(t) = $28,000(0.811)^t  (Answer A)

Step-by-step explanation:

The value of the car is decreasing.  Thus, by the end of the first year of ownership, the car will have the value $28,000(1 -0.189)^1, where the "-0.189" represents DECAY instead of GROWTH.

Please use " ^ " to indicate exponentiation.

Then the desired formula is C(t) = $28,000(0.811)^t  (Answer A)