Question

One survey estimates that, on average, the retail value of a mid-sized car decreases by 8% annually. If the retail value of a car is V dollars today, which expression represents the car’s value 1 year later?

A. 0.08V
B. 0.92V
C. 1.08V
D. V-0.08

Answer 1

b

i ggot it right on test

Answer 2

`\bf \qquad \textit{Amount for Exponential Decay}\\\\ A=I(1 - r)^t\qquad \begin{cases} A=\textit{accumulated amount}\\ I=\textit{initial amount}\to &V\\ r=rate\to 8\%\to (8)/(100)\to &0.08\\ t=\textit{elapsed time}\to &1\\ \end{cases} \\\\\\ A=V(1-0.08)^1\implies A=V(0.92)\implies A=0.92V`