a new car is purchased for 28,800 dollars. the value of the car depreciates at a rate of 6.6% per year…

a new car is purchased for 28,800 dollars. the value of the car depreciates at a rate of 6.6% per year. which equation represents the value of the car after 2 years?\nanswer\n$v = 28,800(0.934)(0.934)$\n$v = 28,800(1.066)^2$\n$v = 28,800(0.066)^2$\n$v = 28,800(1 - 0.066)(1 - 0.066)(1 - 0.066)$
Answer
Explanation:
Step1: Find the depreciation - factor
The car depreciates at a rate of 6.6% or 0.066 per year. The value of the car after each year is (1 - 0.066)=0.934 of its previous - year value.
Step2: Calculate the value after 2 years
The initial value of the car is $V_0 = 28800$. After the first year, the value $V_1=V_0\times(1 - 0.066)=28800\times0.934$. After the second year, the value $V = V_1\times(1 - 0.066)=28800\times0.934\times0.934$.
Answer:
$V = 28800(0.934)(0.934)$