Question

The present price of a car is 33750 rs every year the price decreases by 4% find the price of a car after 4 years

Answer 1

Hi,

Your answer :
4%x4%=16%

So :
33750/100x16=5 400

So:
33750-5400= 28 350

The answer:
In 4 years after the price is 28350rs.

Good bye :)

Answer 2

Answer:

It is 28,665.44 .  Use compound interest formula.

Step-by-step explanation:

This problem is solved by using the compound interest formula.

As every year the price of the car decreases by 4%, the rate of depreciation is 4%. Or the rate of interest on the capital cost P of = 33,750 is r = - 4% (negative).  The period of compounding /accumulation n is 4 years.

So r = - 4%, P = 33,750.  n = 4.

Price of the car after 4 years is A.

  A = P (1 + r/100)ⁿ

     = 33, 750 * (1 - 4/100)⁴

     = 33, 750 * 0.96⁴

     =  28, 665.44

This is the answer.