Change in Linear and Exponential Functions Practice Test

A car is worth $V_0=$24{,}000$. Linear depreciation: $V_L(t)=24{,}000-1{,}800t$, where $t$ is years and $$1{,}800$/year is lost. Exponential depreciation: $V_E(t)=24{,}000(0.90)^t$, where value drops 10% per year. Values are in dollars. Linear change subtracts the same amount yearly, while exponential change multiplies by the same factor yearly. In the context of this scenario, which model predicts a greater decrease after 3 years?

A car is purchased for $V_0=$30{,}000$. Linear depreciation: $V_L(t)=30{,}000-2{,}500t$, where $t$ is years and $$2{,}500$/year is lost. Exponential depreciation: $V_E(t)=30{,}000(0.88)^t$, where value drops 12% per year. Values are in dollars. Linear change subtracts the same dollar amount yearly, while exponential change subtracts a percent of the current value yearly. Based on the scenario described, which function best describes the change in the exponential depreciation model?