Question

a machine cost 36000 its value depreciates at the rate of 10 % during the first year and then increases at the rate of 20 % during the second year of the value of machine after 2 years​

Answer 1

Answer:

The value of the machine after two year is 38,880

First Year, Rate decreases by 10%

So, Rate becomes (36,000 - (36,000×10%))

= 32,400

Second Year, Rate increases by 20%

So, Rate becomes (32,400 + (32,400×20%))

= 38,880