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1 September, 20:15

The value of a car is $15,000 and depreciates at a rate of 8% per year. What is the

decay factor?

.92

8

1.08

.08

+5
Answers (1)
  1. 1 September, 20:34
    0
    Answer: decay factor = 0.92

    Step-by-step explanation:

    Given that the car depreciates at a rate of 8% per year.

    What is the decay factor?

    Since the car depreciation the value of the car will reduce. The decay will be represented as:

    1 - %8 = 1 - 8/100

    = 1 - 0.08

    = 0.92

    Therefore the decay factor = 0.92 which is option A
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