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Mice21 [21]
2 years ago
6

A new car is purchased for 25000 dollars. The value of the car depreciates at 8.25% per year. What will the value of the car be,

to the nearest cent, after 15 years?
Mathematics
2 answers:
Tema [17]2 years ago
5 0
A=25000(1-0.0825)^15
A=6,871.18
Elena-2011 [213]2 years ago
5 0

Answer: $6871.18

Step-by-step explanation:

The equation for depreciation is given by :-

y=A(1-r)^x, where A is the initial value and r is the rate of depreciation in x years.

Given: The initial value of car = $25,000

The rate of depreciation of car = 8.25%=0.0825

Now, the value of car after 15 years will be given by :-

y=25,000(1-0.0825)^{15}\\\\\Rightarrow y=25000(0.9175)^{15}\\\\\Rightarrow y=\$6871.17647028\approx \$6871.18

Hence, the value of car after 15 years= $6871.18

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Please find the table in the attached file.

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