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Nataly [62]
3 years ago
11

Jason bought a car for $12500. According to the insurance company, the value of the car depreciates by 7% each year. What will t

he value of car be 5 years after Neil purchased it? Round to the nearest hundredth, if necessary. Do not include the $ sign in your answer.
Mathematics
1 answer:
Orlov [11]3 years ago
3 0

Answer:

8696.10

Step-by-step explanation:

If a car depreciates by 7% each year, this means that 7% of its value that year is subtracted from its previous value. In other words, you can multiply its value by (1-0.07)=0.93.

12500\cdot 0.93^5\approx 8696.10. Hope this helps!

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