I am stuck on question 17 on this paper. Here goes...
Gwen bought a new car.
Each year, the value of her car depreciated by 9%
Calculate the number of years after which the value of her car was 47% of its value when new.
I just don't get this question at all.. Anyone help?
Thanks
Hello, Danielisew!
Let's take baby-steps . . .Gwen bought a new car.
Each year, the value of her car depreciated by 9%
Calculate the number of years after which the value of her car
is 47% of its original value.
The original value is .
During the first year, the car loses 9% of its value.
. . Hence, its value is: .
During the second year, the car loses 9% of that value.
. . Hence, its value is: .
During the third year, the car loses 9% of that value.
. . Hence, its value is: .
In general, after years, the car's value is: .
When is this 47% of the original value?
. .
Take logs: .
Then: .