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Question

A government program that currently costs taxpayers $2.5 billion per year is cut back by 20 percent per year. Write an expression for the amount budgeted for this program after n years.

Solution

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We know that 2.5 billion is 2.51092.5\cdot10^9 and 20% is 210\dfrac{2}{10}.

Since the amount budgeted is 80% per year, starting from 2.5 billions, the sequence that represents the amount budgeted after nn years is:

an=2.5109(810)n\color{#4257b2} a_n =2.5\cdot10^9\cdot \left( \frac{8}{10} \right)^n

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