Ali bought a motor cycle for MVR 49,685 which includes 5% discount.
What was the actual price?
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4
Answer:
Cost price=Rs50000=Principal value
Rate(R) of depreciation=8%
T=1year
∴A=P(1−
100
R
)
T
since value depreciates,
=>A=50000(1−
100
8
)
=50000×
25
23
=46000
∴value of motorcycle after one year is Rs.4600
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