Question

A local bakery opened with new equipment worth $80,000. Ten years later, the owners’ accountants told them that their equipment had depreciated at a rate of 6 percent per year. Which equation would you use to create a sequence modeling this situation?(1 point)an=80,000(0.06)n an=80,000(0.94)n−1 an=80,000(0.94)n an=80,000(0.06)n−1

Answer 1

an = 80,000(0.94)^{n-1}

Explanation: each year the equipment keeps 94% of the previous year's value (1 − 0.06 = 0.94). Using a_1 = 80,000 gives the factor raised to (n−1).