Question

The value of a motorcycle year ago was 70000.it depreciates at the rate of 4%per annum.the present value is ?

Answer 1

The present value of the motorcycle is $67200.

Step-by-step explanation:

It is given that the value of a motorcycle year ago was 70000.

The rate of depreciation = 4% per annum.

Present value = Value of a motorcycle year ago - 4% of value of a motorcycle year ago

Present value = $70000-70000\times\frac{4}{100}$

                       = $67200$

Therefore, the present value of the motorcycle is $67200.

#Learn more

The value of a machine depreciates at the rate of 10% per annum it was purchased 3 years ago for 60000.what is the present value of the machine​.

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The valve of machine depreciates at the rate of 10% every year it was purchased 3 years ago if present value is 8748 its present value was?

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Answer 2

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