Question

PLEASE HELP

Answer 1

Answer:

$593.26

Step-by-step explanation:

We know that the price of the laptop is $2500 and each year its resale value decreases by 25%. It means that 100 - 25 = 75% of the value is retained every year for the resale.

So, the resale value for 1st year = $\frac{75}{100} *2500 =$ $1875

for 2nd year =  $\frac{75}{100} *1875 =$ $1406.25

for 3rd year =  $\frac{75}{100} *1406.25 =$ $1054.7

for 4th year =  $\frac{75}{100} *1054.7 =$ $791.01

for 5th year =  $\frac{75}{100} *791.01 =$ $593.25

Or we can use the following formula to find its resale value after 5 years:

$2500*(0.75)^5 =$ $593.26