the expression 25,000(1 - r)^n represents the value of a car n years after its purchase and a rate of change…

the expression 25,000(1 - r)^n represents the value of a car n years after its purchase and a rate of change of r%. which interpretation of the expression is correct? a. the expression is the product of the value of the car in year n and the decay factor of the car. b. the expression is the product of the value of the car in year n and the growth factor of the car. c. the expression is the product of the initial value of the car and the decay factor of the car after n years. d. the expression is the product of the initial value of the car and the growth factor of the car after n years.
Answer
Brief Explanations:
The initial value of the car is 25000. The factor $(1 - r)^n$ represents the decay factor after $n$ years since $r$ is a rate of change (and when $r>0$ it implies decay as the value of the car decreases over time). So the expression $25000(1 - r)^n$ is the product of the initial value of the car and the decay factor of the car after $n$ years.
Answer:
C. The expression is the product of the initial value of the car and the decay factor of the car after $n$ years.