Question

Can someone help me on problem 79

Answer 1

79

a) the multiplier would be 1 - 0.15 = 0.85

b) value = 27,000*0.85^y ( with y being the number of years)

c) y = 5 years

27000 x 0.85^5 = 11980.04

the car will be valued at $11,980.04 after 5 years