<u>Answer:</u>
The amount lost over the 3 years s 2567.25£
<u>Explanation:</u>
where F = final value after n years
I = initial value of the car in 2017 = £18000 (given)
Since the value is depreciated 5% every year for 3 years,
r = percentage rate of depreciation = 5% (given)
n = 3 years
Substituting these values in formula, we get
=
= 15432.75£ which is the value of the car after 3 years
Finally 18000-15432.75 = 2567.25£ is the amount lost over this period.