Question

The function p(t) represents the value of a new car t years after it was manufactured

http://prntscr.com/dg1lb8

Answer 1

A claims it decreases by 94% each year

if you have
10x0.94

you get 9.4

is this 94% less than 10?

Answer 2

No.

Answer 3

then A is incorrect

Answer 4

B claims that the initial value is 0.94

P=A(b)^t

the initial value is when the power=0 so when t=0

b^0=1
so you have

p=A(1)
P=A

A is your initial value hence 24525 is the initial value

hence B is incorrect

Answer 5

C claims the price increases, but you can clearly see that from

10x0.94=9.4
you decrease the value

hence C is incorrect

Answer 6

if you have t=1
you get

24525x0.94

when t=2

24525x0.94^2

which is

245x0.94x0.94

and as t increases, you multiply by 0.94 that many times

hence D is your answer

Answer 7

Thank you.

Answer 8

Let t=0, and you will get the initial value of the car!

One year passes, t=1, you get the price of the car decreased by 1471.5$

Another year , t=2, the car's price will be decreased by 2854.71$

Divide (24525-2854.71) by (24525-1471.5) ... what you got?
\[\Large \frac{ (24525-2854.71) }{(24525-1471.5)}=\frac{ 47 }{ 50 }=0.94\]

what does that mean?

Answer 9

It means that the value of the car decreases by 94% each year?

Answer 10

No, it means that the price of the car of any year is 0.94 of the price of the car of the previous year...so that we divide the price of the car at year 2 by the price at year 1 so the result showed that it was 0.94 of its previous year!

Answer 11

That was a more interesting approach

Answer 12

Is it still D?

Answer 13

Yes, of course because:
1. all the choices (A, B, and C) are incorrect!
2. @amorfide has said that "hence D is your answer"!

Answer 14

Just making sure, thank you both.

Answer 15

No problem at all!
You are welcome!
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