Question

The dollar value v (t) of a certain car model that is t years old is given by the following exponential function.

V (t) = 26,000 (0.84)^t

Find initial value of the car and the value after 11 years. Run your answers to the nearest dollar is necessary.

Initial value: $26,000

Value after 11 years: $_____

Answer 1

$ 3820

Explanation:

When the car is new, it is 0 year old. It means, t = 0

Initial value = 26,000 (0.84)^0 = 26,000(1)

Initial value = $ 26000

Similarly, when car is 11 year old, t = 11

=> 26000(0.84)¹¹ = 26000(0.14691)

≈ $ 3819.842

≈ $ 3820 (round to near ten)