Robin bought a computer for $1,250. It will depreciate, or decrease in value, by 10% each year that she owns it.

Question

a) Is the sequence formed by the value at the beginning of each year arithmetic, geometric, or neither? Explain.
b) Write an explicit formula to represent the sequence.
c) Find the value of the computer at the beginning of the 6th year.

Answer 1

Value = 1250(.9)^n

does that look arithmetic or geometric to you ?

Answer 2

yes