Consider the following four recurrence relations representing the value of an asset after `n` years, `V_n`.
- `V_0 = 20\ 000, qquad V_(n+1) = V_n + 2500`
- `V_0 = 20\ 000, qquad V_(n+1) = V_n - 2500`
- `V_0 = 20\ 000, qquad V_(n+1) = 0.875 V_n`
- `V_0 = 20\ 000, qquad V_(n+1) = 1.125V_n - 2500`
How many of these recurrence relations indicate that the value of an asset is depreciating?
- 0
- 1
- 2
- 3
- 4