Question

A certain forest covers an area of 2,000 square kilometers. Suppose that each year this area, decreases by 6%. What is the equation that best represents the area of the forest each year?

Hint: Use the formula y = P(1 + r)x.

y = 2,000(0.94)x
y = 2,000(1.06)x
y = 2,000(0.06)x
y = 2,000(1.94)x

Answer 1

y = 2,000(0.94)x

Explanation:

f(x) = P (1 + r) ^x

P = 2000

r = -0.06

f(x) = 2000 (1 - 0.06)^x

= 2000 (0.94)^x