Question

In the year 2006, a person bought a new car for $24000. For each consecutive year after that, the value of the car depreciated by 10%. How much would the car be worth in the year 2010, to the nearest hundred dollars?

Answer 1

Answer:

$15,746.400

Step-by-step explanation:

The computation of the car value in the year 2010 is shown below:

Since the new car brought in the year of 2006 at $24,000

And, it would be depreciation by 10%

So, in the year 2010 the car value would be

= $24,000 × (1 - 0.10)^4

= $24,000 × 0.9^4

= $15,746.400