Question

Sam bought a car for $25,000 in 2009. Since then the car has depreciated in value y $1500 a year. Write a function that will allow you to calculate how much the car will be worth in 5 years if we let 2009 be t=0

Answer 1

$17,500

Explanation:

Initial value of the car was $25,000, for t = 0.

After one year, the value would be $25,000 - ($1,500/year) (1), or $23,500.

After t years, the value would be $25,000 - ($1,500/year) t

After 5 years, the value would be worth

$25,000 - ($1,500/year) (5 years) = $17,500.