Question

the cost of a refrogerator is 9000. its value depreciates at the rate of 5% every year. find the total depreciates un its value at the end of 2 years.

Answer 1

price of the refrigerator=9000
In one year , new value = 9000{1-(5/100)}
=9000× 19/20 = 5400

In the second year, new value hence formed
=5400×{1-(5/100)}=5400×19/20 =5130

So, the current value after 2 years is 5130.

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