Question

Bob buys a boat that will cost him $10,000. the boat continuously depreciates at an annual rate of 17%. Write an exponential function for the value. How much will the boat be worth in 15 years?

Answer 1

\[A(t) = Pe ^{rt}\]

\[A(t) = 10000e ^{(-0.17)(15)}\]

\[A(t) = 780.82\]