i didnt understand this its precalculus

Question

A car was valued at $34,000 in the year 1990. The value depreciated to $12,000 by the year 2002.

A) What was the annual rate of change between 1990 and 2002? =___ Round the rate of decrease to 4 decimal places.

B) What is the correct answer to part A written in percentage form? = ___ %.

C) Assume that the car value continues to drop by the same percentage. What will the value be in the year 2007 ?value = $___  Round to the nearest 50 dollars.

Answer 1

Vehicle has depreciated $22,000 over 12 years. The rate of change is given by taking the change in the value over the original value.

22,000/34,000 = .6471 for the 12 year period.

.6471/12 = .0539 rate of change per year. This is 5.39% per year.

Value of vehicle in 2007 would be 34,000 - (34,000 x (.0539 x 15)) = 6,511 or 6,500 when rounded to nearest 50 dollar value.