Question

The equation

V
=
23900
(
0.91
)
t
V
=
23900
(
0.91
)
t
represents the value (in dollars) of a car
t
t
years after its purchase. Use this equation to complete the statements below.
The value of this car is at a rate of

The purchase price of the car was .

Answer 1

Answer: The equation represents the value (in dollars) of a car t years after its purchase, so the purchase price of the car would have been the value of the car when t = 0. Plugging in t = 0 into the equation, we get:

V = 23900 * (0.91)^0

V = 23900

So the purchase price of the car was $23,900.

Regarding the rate of decrease in the value of the car, we can observe that the value decreases at a rate proportional to (0.91)^t, so the rate of decrease is proportional to 0.91.

Explanation: