Question 1
A business estimates that the salvage value V of a piece of machinery after t years is given by
After what amount of time will the salvage value be $639?
◦ After 10.6 years
◦ After 8.6 years
◦ After 9.6 years
◦ After 11.6 years
Question 2
A consumer group in one city compares the costs of goods and services in that city over various years, and uses 1970 as a base. The same goods and services that cost $100 in 1970 cost $42 in 1941. Assuming the exponential-decay model, find the value of k, and write the equation. Round the value of k to the nearest thousandth. Let t be the number of years before 1970.
◦ P(t) = P
0e
-0.028t◦ P(t) = P
0e
-0.035t◦ P(t) = P
0e
-0.03t◦ P(t) = P
0e
-0.032t