A fax machine is bought for $5,800. Its value every year is about 80% of value of preceding year. So after t years value, in dollars, of fax machine, V(t), is provided by exponential function V(t) = 5800 (0.8)t.
a) Draw the sketch of graph of function V(t). Your graph can be the "rough draft".
b) Find value of fax machine in years 0, 1 and 4. to nearest tenth.
c) Suppose that company make decision to replace machine when machines values decreases to $500. In how many years will machine be replaced.