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3 September, 12:41

A $30,000 car depreciates in value 12% a year. How much will the car be worth in 5 years?

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Answers (2)
  1. 3 September, 12:55
    0
    It will be worth $15,832
  2. 3 September, 12:58
    0
    F=ir^t, f=final value, i=initial value, r=rate, t=time, in this case:

    f=30000 ((100-12) / 100) ^t

    f=30000 (0.88) ^t so

    f (5) = 30000 (0.88) ^5

    f (5) = $15831.96 to nearest cent
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