Question

Thecost of bike is decreases 15% every year. The previous cost of bike is 40,000. Then find cost of bike after 2 years

Answer 1

Given:
           Decrease percentage = 15%
           Initial price or principle = 40,000
           Years = 2
           Amount = ?

Formula:
              A = P(1-R/100)ⁿ 

ie a = 40,000(1-15/100)²
       = 40,000 x 17/20 x 17/20
       = 100 x 17 x 17
       = 28,900

Hope this helps.......