Question

A computer sells for
\[\$900\] and loses
\[30\%\] of its value per year.
Write a function that gives the computer's value,
\[V(t)\],
\[t\] years after it is sold.

Answer 1

V(t) = 900(0.7)^t

(Here 0.7 = 1 − 0.30, so each year the computer retains 70% of its value; V is in dollars and t ≥ 0 years.)