We need to solve two problems: Question 4 and Question 5. Question 4 concerns the depreciation of a laptop, where $V_n$ is the value of the laptop after $n$ years. We are given that $V_0 = 2800$ and $V_{n+1} = 0.91V_n$. Part (a) asks for the rate of depreciation each year. Part (b) asks after how many years the laptop will be worth less than $1000. Question 5 concerns the depreciation of a machine. The machine is purchased for $36,000 and depreciates at a rate of $0.16 for each unit it produces. The machine produces 24,000 units per year on average. Part (a) asks for the annual depreciation amount. Part (b) asks us to use the rule $V_n = 36000 - 0.16n$ to write out a recurrence relation. Part (c) asks for the value of the machine after six years of use.

Applied MathematicsRecurrence RelationsExponential DecayDepreciationModeling
2025/3/18

1. Problem Description

We need to solve two problems: Question 4 and Question
5.
Question 4 concerns the depreciation of a laptop, where VnV_n is the value of the laptop after nn years. We are given that V0=2800V_0 = 2800 and Vn+1=0.91VnV_{n+1} = 0.91V_n. Part (a) asks for the rate of depreciation each year. Part (b) asks after how many years the laptop will be worth less than $
1
0
0
0.
Question 5 concerns the depreciation of a machine. The machine is purchased for 36,000anddepreciatesatarateof36,000 and depreciates at a rate of 0.16 for each unit it produces. The machine produces 24,000 units per year on average. Part (a) asks for the annual depreciation amount. Part (b) asks us to use the rule Vn=360000.16nV_n = 36000 - 0.16n to write out a recurrence relation. Part (c) asks for the value of the machine after six years of use.

2. Solution Steps

Question 4:
(a) The recurrence relation Vn+1=0.91VnV_{n+1} = 0.91V_n means that the value in year n+1n+1 is 91% of the value in year nn. This means that the depreciation rate is 10.91=0.091 - 0.91 = 0.09, or 9%.
(b) We want to find nn such that Vn<1000V_n < 1000. We know V0=2800V_0 = 2800 and Vn=2800(0.91)nV_n = 2800(0.91)^n.
So we want to solve 2800(0.91)n<10002800(0.91)^n < 1000.
Dividing both sides by 2800, we get (0.91)n<10002800=1028=514(0.91)^n < \frac{1000}{2800} = \frac{10}{28} = \frac{5}{14}.
Taking the natural logarithm of both sides, we get nln(0.91)<ln(514)n \ln(0.91) < \ln(\frac{5}{14}).
Since ln(0.91)<0\ln(0.91) < 0, we divide both sides by ln(0.91)\ln(0.91) and reverse the inequality:
n>ln(514)ln(0.91)1.02960.094310.91n > \frac{\ln(\frac{5}{14})}{\ln(0.91)} \approx \frac{-1.0296}{-0.0943} \approx 10.91.
Since nn must be an integer, the smallest such nn is
1

1. Therefore, after 11 years, the laptop will be worth less than $

1
0
0
0.
Question 5:
(a) The machine depreciates at a rate of 0.16perunit,andproduces24,000unitsperyear.Sotheannualdepreciationamountis0.16 per unit, and produces 24,000 units per year. So the annual depreciation amount is 0.16 \times 24000 = 3840$.
(b) Let VnV_n be the value of the machine after nn units produced. Then V0=36000V_0 = 36000. The recurrence relation is given by Vn+1=Vn0.16V_{n+1} = V_n - 0.16.
(c) The value of the machine after six years of use. Since the machine produces 24,000 units per year, after six years it will have produced 6×24000=1440006 \times 24000 = 144000 units. We are given Vn=360000.16nV_n = 36000 - 0.16n, so V144000=360000.16×144000=3600023040=12960V_{144000} = 36000 - 0.16 \times 144000 = 36000 - 23040 = 12960.

3. Final Answer

Question 4:
(a) The rate of depreciation is 9%.
(b) After 11 years, the laptop will be worth less than $
1
0
0
0.
Question 5:
(a) The annual depreciation amount is $
3
8
4

0. (b) The recurrence relation is $V_{n+1} = V_n - 0.16$, where $V_0 = 36000$.

(c) The value of the machine after six years is $
1
2
9
6
0.

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