Question

The present value of machine is ₹10000. It's value depreciates by 10 percent. What will be it's value after 2 year​

Answer 1

Answer:

If the value of the machine at the beginning of year 1 is 10,000 and then it reduces by 10%, the value of the machine at the end of year 1 is:

10,000 * (100%-10%) = 9,000

And again, at the end of Year 2, we follow a similar route:

9000 *(100%-10%) = 8,100