Final answer:
To calculate the percentage decrease in a year, we need to consider the monthly decrease of 2.7% over a span of 12 months. Each month, the price decreases by 2.7%. To find the cumulative decrease, multiply the monthly decrease by the number of months.
Step-by-step explanation:
To calculate the percentage decrease in a year, we need to consider the monthly decrease of 2.7% over a span of 12 months. Each month, the price decreases by 2.7%, so we can calculate the cumulative decrease over the year by multiplying the monthly decrease by the number of months.
Let's use an example: Suppose the price of gold is $500 at the beginning of the year. In the first month, it decreases by 2.7%, so it becomes $500 - (2.7% of $500) = $485.50. In the second month, it decreases by 2.7% again, so it becomes $485.50 - (2.7% of $485.50) = $471.85. You can continue this process for all 12 months.
The final price at the end of the year will be the result of all the monthly decreases applied to the original price. To calculate the percentage decrease in the final price compared to the original price, we can use the formula:
Percentage Decrease = (Original Price - Final Price) / Original Price * 100%
For the example above, the original price was $500 and the final price was the value at the end of the year. By plugging in the values into the formula, you can calculate the percentage decrease.