Question

in 2001 John makes an investment investment and $50,000 decreases in value of the rate of 2.5% per year write an exponential function to find the value of the investment in 2010

Answer 1

$39811.77

Explanation:

If we put y as the unit of year, the function will be 50000x0.975^y (100%-2.5% is 97.5%). And so from 2001 to 2010, nine years has passed, so the equation will be 50000x0.975^9 And if you calculate and round the answer to the nearest hundredth (cent), you will find $39811.77.