Question

Deepak bought a new car at the dealership for $25,000. It is estimated that the value of the car will decrease 9% each year. Which exponential function models the value v of the car after t years?

Answer 1

A decrease of 9% means that the car's value drops to 91% each year or 0.91 as a fraction.

Exponential function is v = 25,000(0.91)^t