# Asset Value for V(t)=220-70e^(-0.4t)

The value of assets (in thousands of RM) for Rainbow Co. is: V(t)=220-70e^(-0.4t).

“t” represents the number of years which have passed.

Find

(i) the initial VALUE of the ASSETS for t = 0 years.

(ii) the VALUE of the ASSETS for t = 5 years

(iii) the PROFIT if the owner sells the assets after 8 years.

### Comments for Asset Value for V(t)=220-70e^(-0.4t)

 Jul 26, 2012 Asset Value by: Staff The answer: (i) the initial VALUE of the ASSETS for t = 0 years.V(t) = 220 - 70e^(-0.4t)t = 0V(0) = 220 - 70e^(-0.4*0)V(0) = 220 - 70e^(0)V(0) = 220 - 70*1V(0) = 220 - 70V(0)= 150>>> initial VALUE of the ASSETS = RM 150 (in thousands of RM)(ii) the VALUE of the ASSETS for t = 5 yearsV(t) = 220 - 70e^(-0.4t)t = 5V(5) = 220 - 70e^(-0.4*5)V(5) = 220 - 70e^(-2)V(5) = 220 - 70 * 0.1353352832366V(5) = 220 - 9.473469826562V(5)= 210.526530173438V(5)= 210.527>>> VALUE of the ASSETS after 5 years = RM 210.527 (in thousands of RM)(iii) the PROFIT if the owner sells the assets after 8 years.PROFIT = V(8) - V(0)PROFIT = 220 - 70e^(-0.4*8) - 150PROFIT = 220 - 70e^(-3.2) - 150PROFIT = 220 – 70*0.0407622039784 - 150PROFIT = 67.146645721512PROFIT = 67.147>>> PROFIT if the owner sells the assets after 8 years = RM 67.147 (in thousands of RM)Thanks for writing.Staff www.solving-math-problems.com