Answer: $203
Step-by-step explanation: We first start out with the exponential decay model which is y=a(1-r)^t, then plug in the numbers of your problem:
-y=26,000(1-0.50)^7
-y=26,000*0.50^7
-y=26,000*0.0078125
-y=203.125
Then, after rounding to the nearest hundred dollars you get your answer....
:) hope this helped a bit
