Question

A new bike was bought at 98500 in 2004. Its value depreciated at the rate of 10% per annum. Find its value after 3 years

Answer 1

Answer:

Explanation:

P = 98500 ; r = 10% ; n = 3

value of the bike after depreciation =$p(1 - \frac{r}{100} ) {}^{n}$

= 98,500 $(1 - \frac{10}{100}) {}^{3}$

= 98,500$\times \frac{9}{10} \times \frac{9}{10} \times \frac{9}{10}$

Answer 2

Explanation:

P = 98500 ; r = 10% ; n = 3

value of the bike after depreciation =p(1 - \frac{r}{100} ) {}^{n} p(1−

100

r

)

n

= 98,500 (1 - \frac{10}{100}) {}^{3} (1−

100

10

)

3

= 98,500 \times \frac{9}{10} \times \frac{9}{10} \times \frac{9}{10} ×

10

9

×

10

9

×

10

9