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Pavlova-9 [17]
3 years ago
15

Lenny's car is worth $18,000 after 5 years. When the car was new, it sold for $24,000. What is the depreciation rate?

Mathematics
2 answers:
Tatiana [17]3 years ago
8 0
If you doing straight-line depreciation rate

(P-s)÷N

(24000-18000)/5=1200

where p is cost, s is sold or salvage value, N is number of years
Elanso [62]3 years ago
4 0
A=p (1-r)^t
18000=24000 (1-r)^5
Solve for r (rate of depreciation)
R=((18,000÷24,000)^(1÷5)−1)×100
R=−5.59 % per year
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