Answer
The final amount after 8 years of decay is approximately $202$.
Work Step by Step
RECALL:
Exponential decay is represented by the formula
$y=C(1-r)^x$
where
C = initial/original amount
r - decay rate
x = number of time intervals
The given exponential growth has:
C = 305
r = $5\%$
x = 8 years
Substitute these values into the given formula above to have:
$y=305(1-5\%)^{8}
\\y=305(1-0.05)^{8}
\\y=305(0.95^{8})
\\y=202.3432315
\\y\approx 202$
