Question

Rajesh bought a computer at a price of 63,000₹. The value of the computer
depreciated by 12% each year. What will be the price of the computer at the end of
2 years?

Answer 1

Information given:

Price of computer = 63,000₹

Value of computer reduced each year= 12%

Decresed by 12%, so left amount will be (100-12)=88%

1st year: 88/100 × 63,000= 55,440₹

2nd year: 88/100 × 55400= 48,787.2 ₹

Therefore, price of the computer at the end of

2 years = 48,787.2 ₹

$........................................................................................$

We can also use the formula of compound interest here:

Total amount= a

$a = p {(1 - \frac{r}{100} )}^{n} \\ = > a = 63000 {(1 - \frac{12}{100} )}^{2} \\ = >a = 63000 \times {(0.88)}^{2} \\ = > a = 48787.2$