A new car cost ₹48000 it appreciates at 8% year during 1st 2 years and at rate of 20% a year thereafter what will be price after 3 years.help me please
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>>A new car costs Rs. 360000 .Its price de
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A new car costs Rs. 360000.Its price depreciates at the rate of 10% a year during the first two years and at the rate of 20% a year thereafter.What will be the price of the car after 3 years?
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Correct option is A)
Current price of the car, P
o
=Rs360000
Rate of depreciation, 10% for first 2 years, 20% for the third year
Now, Let price after 2 years= P
Thus, P=P
o
(1+
100
R
)
T
P=360000(1+
100
−10
)
2
P=360000×
10×10
9×9
P=291600
After the third year, let the price be P
′
P
′
=P(1+
100
R
′
)
T
P
′
=291600(1+
100
−20
)
1
P
′
=
100
291600×80
P
′
=233280
Thus, the car will cost Rs 233280 after three years.