A certain model of car has been declining in popularity, and one automotive executive predicts that the sales of the vehicle will decrease by 5% per year. If the

company sold 25,000 cars this year, about how many cars will the company sell 5 years from now?

The formula for this decline is shown by the function below where a is the initial amount, r is the rate of decrease expressed as a decimal, t is the time

elapsed, and y is the final amount.

y = a (1-r) ^t

Question

Zoe Bowen

Mathematics

22 August, 06:04

A certain model of car has been declining in popularity, and one automotive executive predicts that the sales of the vehicle will decrease by 5% per year. If the

company sold 25,000 cars this year, about how many cars will the company sell 5 years from now?

The formula for this decline is shown by the function below where a is the initial amount, r is the rate of decrease expressed as a decimal, t is the time

elapsed, and y is the final amount.

y = a (1-r) ^t

+2

Answers (2)

Know the Answer?

Ellie Barr · Answer 1

Step-by-step explanation:

The formula for the decline in the sales of the vehicle is shown by the function below

y = a (1-r) ^t

where a is the initial amount,

r is the rate of decrease expressed as a decimal,

t is the time elapsed,

and y is the final amount.

If the company sold 25,000 cars this year, then the number of cars that the company will sell in 5 years from now would be

y = 25000 (1-0.05) ^5

y = 25000 * 0.95^5 = 1$19344.

cars

Uriah Miller · Answer 2

19,345

Step-by-step explanation:

Putting the given numbers into the given formula and doing the arithmetic, we have ...

y = 25,000 * (1 - 0.05) ^5 = 25,000*0.773781 ≈ 19,345

Sales in 5 years are estimated to be 19,345 cars.