Answer:
[tex]\$6,582.79[/tex]
Exponential Decay
Step-by-step explanation:
we know that
The equation of a exponential decay function is given by
[tex]y=a(1-r)^x[/tex]
where
y is the value of the truck
x is the number of years
a is the initial value
r is the rate of change
we have
[tex]a=\$22,000\\r=14\%=14/100=0.14[/tex]
substitute
[tex]y=22,000(1-0.14)^x[/tex]
[tex]y=22,000(0.86)^x[/tex]
Find the value of the truck after 8 years.
For x=8 years
substitute in the exponential decay function
[tex]y=22,000(0.86)^8=\$6,582.79[/tex]
