Expert: Sherman D. - 11/8/2007

Question
the value of a new car decreases 20% each year. complete the table. the value V(t) of the car is in dollars and its age t is in years. give each value to the nearest hundred. using the values in your table. make a graph to show the relationship between v(t) and t.

t=0,1,2,3,4,5
v(t)= 10,000,?,?,?,?

Answer
v(t) = 10000(1 - .20)^t

v(1) = 10000(.8)^1
v(1) = 10000 * .8
v(1) = $8000

v(2) = 10000(.8)^2
v(2) = 10000(.64)
v(2) = $6400

v(3) = 10000(.8)^3
v(3) = 10000(.512)
v(3) = $5120

v(4) = 10000(.8)^4
v(4) = 10000(.4096)
v(4) = $4096

v(5) = 10000(.8)^5
v(5) = 10000(.32768)
v(5) = $3276.80

for a graph, go to http://www.calculator.com/calcs/GCalc.html

type in 10000(.8)^x, and you may have to reset the margins that or zoom out to see all of it.