Question

The general equation for depreciation is given by y = A(1 – r)t, where y = current value, A = original cost, r = rate of depreciation, and t = time, in years. The original value of a car is $24,000. It depreciates 15% annually. What is its value in 4 years? $

Answer 1

Using the given equation y = A(1 – r)^t you can calculate the car current value :

y = 24000 * (1 - 0.15)⁴ = 24000 * 0.85⁴
y = $12,528.15

Answer 2

The value of the car after four years is $12528.15.

Original Value = $24,000.

Depreciation = 15 %.

Time = 4 years.

The general equation for depreciation is given by $y = A(1 -r)^t$.

y = current value.

A = original cost.

r = rate of depreciation.

and t = time in years.

We need to determine the current value in four years.

Therefore,

$\begin{aligned}y &= \ 24000(1 -0.15)^4\\&=24000(0.85)^4\\&=24000 \times 0.52200625\\&=12528.15\end{aligned}$

Thus, the value of the car after four years is $12528.15.

To know more about the depreciation, please refer to the link:

https://brainly.com/question/17827672