Question

Jose bought a new car 2 $18,000. The value of his car decreased exponentially by 17% and is now valued at about 12,400. Which function estimates the value of Jose's car after x years since buying the car.
A) f(x) = 12,400(0.17^x)
B) f(x) = 12,400(0.83^x)
C) f(x) = 18,000(0.17^x)***
D) f(x) = 18,000(0.83^x)

Jose predicts that the value of his car will decrease exponentially by 25% over the next 4 years. If Jose is correct, how much will his car be valued at, to the nearest thousand of dollars, after 4 years?

I don't know where to start for the second part.

Answer 1

On the first part, if it decreases by 17% each year, that means its value is 83% of what it was. You forgot to say that the car was bought 2 years ago.
Thus, the answer is D

For the second, just use the same logic to get 18000*0.75^4