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19 May, 05:25

Thomas purchased a used vehicle that depreciates under a straight-line

method. The initial value of the car is $7000, and the salvage value is $500. If

the car is expected to have a useful life of another 5 years, how much will it

depreciate each year?

O

A. $1300

O B. $1000

O c. $7000

O D. $5000

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Answers (1)
  1. 19 May, 05:36
    0
    Answer: A. $1300

    Step-by-step explanation:

    The initial value is $7000

    The Salvage value is $500

    The car will depreciate under a straight-line method, meaning it will lose $6500 value in 5 years.

    6500 / 5 = 1300
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