Given the following question:
Part A:
I believe that the 12,000 tells us the orginal price of the car, or the price the car was purchased for. 12000 is the orginal price of the car.
Part B:
I believe that the 3/5 tells us the decline in value each year after the car has been purchased. Which is why t is the exponet is t was 2 you would have to multiply 3/5 by itself twice and then multiply it by 12000 which further decreases it's value. 3/5 represents the decline in value after T years.
Part C:
t = number of years
t = 3
Value of the car after three years will be 2592.