Question

1. The cost of a car, purchased 2 years ago, depreciates at the rate of 5% each year. If its present worth is rupees 3,15,875, find its original price.
2. The value of a machine in a factory depreciates at 10% of its value at the beginning of the year. If its present value is rupees 60,000, what will be its estimated value after 3 years?

Answer 1

Answer:

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Answer 2

Answer:

Present value of car , A=315600Depreciation rate , R=20% per annumLet the value of car when it was purchased be PNow,Value of car after 2 years of its purchasing=P (1−20100)2315600=P (1−15)2315600=P (45)2P=315600×54×54=Rs. 493125So, car was purchased at Rs. 493125Value of car after 4 years from purchase i.e. 2 years from now=315600 (1−20100)2=315600(1−15)2=315600×45×45=Rs. 201984So, value of car after 2 years from now is Rs. 201984.

90000*10%= 9000

therefore 90000-9000= 81000

for the next year

81000*10%=8100

therefore 81000-8100=72900