Answer :

Answer:

Value of couch after 4 years is $328.05

Step-by-step explanation:

Given that the starting value is 500, and the rate is 0.90, and we are being asked to determine the value after 4 years, we can use the exponential decay formula.

Where:

v = o ( 1 - r )^t

v = value

o = original (principal)

r = rate

t = time

plug in our values:

v = 500(1 - 0.10)^4

v = 500(0.90)^4

v = 328.05