Question

The PS5 is set to release this year. It will cost $600 but the price will drop by 7.5% per year. How much will a PS5 cost in 2025?

Answer 1

Answer: 562.5

Step-by-step explanation:

Ok...Im PRETTY sure this is right, because you multiply 5 (5 years till 2025) times 7.5 (the rate of decrease in price) and subtract that from 500, so that would be 600-37.5, which gives you 562.5

Answer 2

Okay, so the formula for these types of problems is $yab^x$ I believe, or something like that.

So the price is 600 for y, 1-0.0075 is the b because it is decreasing in value each year, and it is 5 years from now, so 5 for the x.

Plug those in, and you will get about 577.83.

I hope this helps.