Question

a laptop computer is purchased for $1450. after each year, the resale value decreases by 30%. what will the resale value be after 3 years?
use the calculator provided and round your answer to the nearest dollar.
$

Explanation:

Step1: Define remaining value rate

Since value decreases by 30%, remaining rate is $1 - 0.30 = 0.70$.

Step2: Set up decay formula

The resale value after $n$ years is $V = P(1 - r)^n$, where $P = 1450$, $r=0.30$, $n=3$.
Substitute values: $V = 1450 \times (0.70)^3$

Step3: Calculate $(0.70)^3$

$0.70^3 = 0.70 \times 0.70 \times 0.70 = 0.343$

Step4: Compute final value

$V = 1450 \times 0.343 = 497.35$

Step5: Round to nearest dollar

Round $497.35$ to $497$.

Answer:

$\$497$