Question

A new car costs Rs 3,60,000. Its price depreciates at the rate if 10% per year during the first 2 years and at the rate of 20% a year thereafter. What will be the price of the car after 3 years?

Answer 1

Present cost of car = 360000
Value of car after 1 year = 10% of 360000
=> 10/100×360000
=> 3600000/100
=> 36000
New price = 360000-36000
=> 324000
Cost of car after 2 year = 10% of 324000
=> 10/100×324000
=> 3240000/100
=> 32400
New price = 324000-32400
=> 291600
Cost of car after 3 year = 20% of 291600
=> 20/100×291600
=> 20×2916
=> 58320
New price = 291600-58320
=> 233280
Hence the cost of car after 3 year is 233280 rs.

Answer 2

Answer:

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