Question

A car is valued at rs. 4,00,000 . If it's value falls at 2.5% per year , what will it's value be after 3 years ?

Answer 1

Present value of the car = Rs 4,00,000
Rate of falling of the value = 2.5%
Value after 3 years = 400000 [1 - 2.5/100]3
= 400000 [39/40]3
= 370743.75

Value of the car after 3 years = Rs 370743.75

Answer 2

value of the car = Rs 4,00,000


Rate of falling of the value = 2.5%



after 3 years = 400000
➡️ [1 - 2.5/100]3
➡️ 400000 [39/40]3
➡️ 370743.75

Value of the car after 3 years = Rs 370743.75
$= 370743.75$