In the formula, v=L (1-

d. n, l is the purchase price, in dollars, of the automobile and the expression (1-

d. n is known as the decay factor. A car purchased for 21,000 has a decay factor of 0.7. What is the present value of the car

Question

Mathematics

Monique Friedman

15 April, 22:07

In the formula, v=L (1-

d. n, l is the purchase price, in dollars, of the automobile and the expression (1-

d. n is known as the decay factor. A car purchased for 21,000 has a decay factor of 0.7. What is the present value of the car

+1

Answers (1)

Know the Answer?

Christopher Briggs · Answer 1

The value of the the car is given by:

V=L (1-d. n)

thus, the value of v when L=$21000 and d. n=0.7 will be:

V=21000 (1-0.7)

V=21000*0.3

V=$6300

Answer: Present value of the car is $6300

In the formula, v=L (1-d. n, l is the purchase price, in dollars, of the automobile and the expression (1-d. n is known as the decay factor. A car purchased for 21,000 has a decay factor of 0.7. What is the present value of the car

In the formula, v=L (1-

d. n, l is the purchase price, in dollars, of the automobile and the expression (1-

d. n is known as the decay factor. A car purchased for 21,000 has a decay factor of 0.7. What is the present value of the car