Question 1188414
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x = original value
0.5x = half of the original value = value after 1 year
0.5*(0.5x) = 0.25x = value after 2 years
0.5*(0.25x) = 0.125x = value after 3 years


Each time we progress year, multiply the previous value by 1/2 = 0.5


We end up with 0.125x which is 12.5% of the original value. 
Note that 0.125 = 1/8 = (1/2)^3


Answer: 12.5%
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