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Yuki888 [10]
3 years ago
13

2) Lucy spent $15, 500 to purchase a new car this year. Lucy can expect her car to depreciate at a rate of 7% per year.

Mathematics
1 answer:
Lelechka [254]3 years ago
5 0

Answer:

<u>Equation: V = C * (1 - r)^t</u>

<u>Answer: $ 8,066.37</u>

Step-by-step explanation:

Let's recall that depreciation on a car can be determined by the formula:

V = C * (1 - r)^t , where:

V is the value of the car after t years,

C is the original cost

r is the rate of depreciation

t is the number of years of utilization of the car

Therefore, we have:

V = C * (1-r)^t

V = 15,500 * (1 - 0.07)⁹

V = 8,066.37 (rounding to the next cent)

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