Set 4: Exponential Functions
Explanation
A car's value follows where is years. What does 0.88 represent?
The car retains 88% of its value each year
The car loses 88% of its value each year
The initial price is $88,000
The car gains 12% value each year
Detailed Explanation
Choice A is correct. Choice A is the correct answer. Interpret the decay factor. 1. Form: where . 2. Meaning: Each year, value becomes 0. times the previous year. 3. Retention: Keeps 88%, loses 12%. Strategic Tip: Decay factor of 0.88 means retaining 88%, not losing 88%. Choice B is incorrect because it misinterprets the factor (keeps 88%, not loses). Choice C is incorrect because 35,000 is the initial price. Choice D is incorrect because the car is depreciating, not appreciating.
Key Steps:
The correct answer is The car retains 88% of its value each year
🎯 Keep Practicing!
Master all sections for your best SAT score