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Sveta_85 [38]
3 years ago
11

A car is purchased for $24,000. After each year, the resale value decreases by 20%. What will the resale value be after 5 years?

Mathematics
1 answer:
diamong [38]3 years ago
3 0

After 5 years the value of car will be: $7864

Step-by-step explanation:

Original Price = $24,000

Decrease in value = 20%

Resale value after 5 years = ?

The formula used will be:

Resale\,\,value=Original\,\,price(1-\%\, decrease)^n

Where n = no of years

and % decrease would be in decimal

So, 20% = 0.2

Putting values and finding resale value:

Resale\,\,value=Original\,\,price(1-\%\, decrease)^n\\Resale\,\,value=24000(1-0.2)^5\\Resale\,\,value=24000(0.8)^5\\Resale\,\,value=24000(0.32768)\\Resale\,\,value=7864.32

So, after 5 years the value of car will be: $7864

Keywords: Percent decrease

Learn more about Percent decrease at:

  • brainly.com/question/2845907
  • brainly.com/question/6073431

#learnwithBrainly

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