A new scooter costs $2,500. The depreciation rate is 30% per year. What is the value of this scooter after 5 years? Round to the

Question

3 years ago

15

nearest dollar.

1 answer:

brilliants [131] · Answer 1 · 2022-06-19T11:08:26+03:00

Answer:

value of scooter = $420.175

Explanation:

given data

scooter costs = $2,500

depreciation rate r = 30%

time = 5 year

solution

we get here value of this scooter after 5 years that is express as

value of scooter = original cost × $(1-r)^{time}$ ...............1

put here value we get

value of scooter = $2500 × $(1-0.30)^{5}$

value of scooter = $420.175