Hello! Got a huge project a couple days ago, buying cars, houses, etc.
I'm trying to find the exponential decay factor of the value of my vehicle.
It all seems somewhat easy, however I came to a place where I appear to be stuck.
Up to this point, I've had to choose a 2009 model car that's been around since at least 2006 (for those who are curious, I chose a 2009 GMC Yukon 4-Door SLE 4WD). I picked accessories and whatnot and added them to the price of the vehicle.
So I made a table using the percents given from the website that my teacher told me to use.You will need to make a table (years from purchase starting at 0 years old, total mileage, and car value at the beginning of the next year) and a graph (comparing age to car value) that has at the minimum four years of data.
http://www.kbb.com/kbb/NewCars/ResaleVa ... 37053.aspx
I couldn't be lazy though, I had to take the price of my vehicle with the accessories and multiply it by the percents given instead of the numbers already given.
Note: The total mileage is 12000 per year, as per what my teacher instructed.
Code:Year Retained MSRP % Total Mileage Resale Value 2009 100% 0 $43,728.00 2010 42% 12000 $18,365.76 2011 33% 24000 $14.430.24 2012 27% 36000 $11,806.56 2013 23% 48000 $10,057.44
Then the next part is where I'm having trouble.
I really haven't made any progress, but I did doodle some stuff down that I guess I can post since its already typed up.From the list of data, you will need to develop anin which you can input the age of the car and the output would be the value of the car. The form of your equation should be exponential and you will probably have to use exponential regress on the TI calculators to find your decay factor. Your decay factor should be rounded to the nearest thousandth.
Please note that the above work is most likely complete garbage.Equation I can put the age of the car and output be value?
a and b are constants, x is age.
a is resale value, b is percent retained…
I don’t know what the equation is…
If anybody could please assist me in any way on finding this evasive equation, it would be greatly appreciated. Thanks!