Mrs. shaw needs to buy a used car. she found one (slightly damaged, can only be seen after dark) being sold by fast eddie for $6300. the value of the car will depreciate each year at a rate of 8% per year. write an exponential function to model the value of the car after x years. find the value of the car after 4 years. 2 separate answers

The car has a starting value of $6300 and will depreciate by 8% of that original value per each ensuing year. This means that each year the value at the end of the year will be 92% of what it was when the year started. Thus we can write an exponential function for the value V(t) where t is the number of years after purchase, such that V(t) = 6300*(0.92^t). Substituting 4 years in for the value of t, we yield V(4) = 6300*(0.92^4) = $4513.