Question

Seth invested n dollars into an investment fund last year. After a period of one year, the value of his investment can be represented by the expression 0.84n. Select the true statement. A. The value of his investment decreased by 16% during this time period. B. An equivalent expression that represents this situation is n - 0.16. C. The value of his investment increased by 84% during this time period. D. An equivalent expression that represents this situation is 1 - 0.16n.

Answer 1

Answer: A. The value of his investment decreased by 16% during this time period.

Explanation:

Here the initial amount = n

Final amount after 1 years = 0.84n

The total change in the initial amount = n - 0.84n = 0.16 n

`\text{ The percentage change in the initial amount} = \frac{\text{ the total change in initial amount}}{\text{ Initial amount}}* 100`

=
`(0.16 n )/(n) * 100 = 16\%`

Thus, the amount is decreases by 16% in one year,

⇒ Option A is correct.