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pooja1951
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Leo bought a bulldozer for $63,103. The value of the bulldozer depreciated at a constant rate per year. The table below shows the value of the bulldozer after the first and second years: Year 1 2 Value (in dollars) 58,054.76 53,410.38 Which function best represents the value of the bulldozer after t years?

Verified Answer :

Aliwohaish12

Year 1
58054.76=63,103(1-r)^1
Year 2
53,410.38=63103(1-r)^2

Answer:

\(A=63103(0.92)^t\)

Step-by-step explanation:

Since, the decay function that show the value is decreasing by a constant rate,

\(A=P(1-r)^t\)

Where,

P = initial value,

r = rate per period,

t = number of periods,

According to the question,

P = $ 63,103,

When t = 1, A = 58054.76

\(\implies 58054.76=63103(1-r)\)

\(\implies 0.92 = 1 - r\)

Hence, the function that represents the value of the bulldozer after t years,

\(A=63103(1-r)^t=63103(0.92)^t\)

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