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22 April, 09:42

Eroa Industries bought a laser printer for $3400. It is expected to depreciate at a rate of 12% per year. What will the value of the printer be in three years? Round to the nearest dollar.

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  1. 22 April, 09:49
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    The laser printer will have depreciated to $1487.5

    Step-by-step explanation:

    The cost price is $3400 and at a depreciation rate of 12% annually

    then if it is used for 3 years, it would have depreciated

    (3400 * 12 * 3) / 100

    = 34 * 12 * 3

    = $1912.5

    Therefore the new price value will be

    $3400 - $1912.5 = $1487.5
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