Question

The value of a car depreciates by 10% annually. If the present value of the car is

8,00,000 what will be its value after 2 years?​

Answer 1

Step-by-step explanation:

value of car depreciates by= 10%

*It means the value decreases*

So,

we apply= A= P(1-R/100)²

PRINCIPAL=8,00,000

RATE= 10%

TIME= 2year

SOLUTION=

8,00,000(1-10/100)²

8,00,000(90/100)²

8,00,000(9/10)(9/10)

8,00,000(81/100)

AFTER CANCELLING

WE GET,

6,48,000

Therefore price after depreciation after 2 year=

6,48,000