Question

I do not know how to get what they are asking me to

Answer 1

In this problem, we have an exponential decay function of the form

`y=a(1-r)^x`

where

a is the initial value --------> a=$27,000

r is the rate -------> r=19%=19/100=0.19

substitute given values

`\begin{gathered} y=27,000(1-0.19)^x \\ y=27,000(0.81)^x \end{gathered}`

For x=4 years

substitute in the equation above

`\begin{gathered} y=27,000(0.81)^4 \\ y=\$11,622.61 \end{gathered}`