Question

Daniel Potter bought a new car for $20,000.00. Two years later, he wanted to sell it. He was offered $14,650.00 for it. If he sold it for that amount, what was his depreciation rate?

Answer 1

His depreciation rate would be around 5,350 if i'm not mistaking

Answer 2

Daniel sold the car for $14,650 ÷ $20,000 = 0.73, or 73% of its original value. Thus, the depreciation rate was 100% – 73% = 27%

= 27 %