value over the years

Question

A big screen HD TV appreciates according to V = Pe-0.19t where V is the value of the TV, P is the purchase price, and t is the age of the TV in years. You just bought a TV for $3,600. How much will the TV be worth in 5 years?

 

i have no idea where to start

Answer 1

The TV depreciates.

 

V = 3600e^-0.19(5)

V = 3600e^-0.95           Take natural log of both sides

ln V = ln 3600 + ln e^-0.95

ln V ≈ 8.18868912 - 0.95

ln V ≈ 7.68868912

V ≈ 2183.351037

 

The value is approximately $2183.35.