Question

A boat costs 16,000 and decreases in value by 14% per year. How much will the boat be worth after 11 years?

Answer 1

Answer

    = 3,045.10

Explanation

A = P(1 - 14/100)ⁿ

A = 16,000(1-0.14)¹¹

    = 16,000 × 0.86¹¹

    = 16,000 × 0.190319

    = 3,045.109725