You cannot do it that way. Make sure the question you wrote is correct, because you would divide 5 by 100, not 100 by 5. A simple way is to move the decimal point two points to the left. 5% as a decimal is 0.05.
The answer is false if the question is written this way.
Answer:
$9,220,000(0.888)^t
Step-by-step explanation:
Model this using the following formula:
Value = (Present Value)*(1 - rate of decay)^(number of years)
Here, Value after t years = $9,220,000(1 -0.112)^t
Value after t years = $9,220,000(0.888)^t
The answer is A your answer
