Question

The value of a $25,000 car depreciates at a rate of 12% per year. What will the car be worth in 5 years?

Answer 1

Answer:  13,193.30$

Step-by-step explanation YOU TAKE 12 % OFF THE ANSWER THEN DO IT AGAIN SO IT LEAVE YOU WITH

Answer 2

The formula for depreciation is:

Value = Starting value x (1 - rate)^time

Using the given values:

Value = 25,000 x (1-0.12)^5

Value = 25,000 x 0.88^5

Value = $13,193.30 (Round the answer as needed)