The equation V(t) = 12,000(0.75)' represents the value of a motorcycle t years after it was purchased. Which statement is true?

Question

The equation V(t) = 12,000(0.75)' represents the value of a motorcycle t years after it was purchased. Which statement is true?

1. The motorcycle cost $9000 when purchased.

2. The motorcycle cost $12,000 when purchased.

3. The motorcycle's value is decreasing at a rate of 75% each year.

4. The motorcycle's value is decreasing at a rate of 0.25% each year.

Answer 1

I'm assuming the "tick mark" on (.75)" is a t - V(t) = 12,000( .75)^t

(2) and (4) are True

That says the value of the cycle decreases by 25% a year or is valued at 75% of the previous years value.