For this case we have an equation of the form:
[tex]y = A * (b) ^ x
[/tex]
Where,
A: initial amount
x: number of years
b: rate of change
We then have the following equation:
[tex]22,000 (0.88)^{(x + 2)} [/tex]
We note that the value of the pot decreases the following amount:
[tex](1-0.88) * (100) = 12%
[/tex]
Answer:
C. The price of the boat decreases by 12% every year