Answered

Find the best answers to your questions with the help of IDNLearn.com's expert contributors. Our platform offers reliable and detailed answers, ensuring you have the information you need.

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. A car was purchased 6 years ago for $25,000. If the annual depreciation rate is 11%, which equation can be used to determine the approximate current value of the car?.

Sagot :

The equation which is used to determine the approximate current value of the car by the depreciation equation is,

[tex]y=25000(0.89)^6[/tex]

What is depreciation?

Depreciation is to decrease in the value of a product in a period of time. This can be given as,

[tex]y=A\left(1-{r}\right)^t[/tex]

Here,(y) is the current value, (A) is the original cost of the product, (r) is the rate of depreciation and (t) is the number of years.

Now the car was purchased 6 years ago. The original cost of the car is $25,000 and the annual depreciation rate is 11%.
The rate can be given as,

[tex]r=\dfrac{11}{100}\\r=0.11[/tex]

Thus, to find the equation can be used to determine the approximate current value of the car, put the values in the above formula as,

[tex]y=(25000)\left(1-{0.11}\right)^6\\y=25000(0.89)^6[/tex]

Hence, the equation which is used to determine the approximate current value of the car by the depreciation equation is,

[tex]y=25000(0.89)^6[/tex]

Learn more about the depreciation here;

https://brainly.com/question/25297296

Answer:

A

Step-by-step explanation:

y=25,000(0.89)^6

Thank you for being part of this discussion. Keep exploring, asking questions, and sharing your insights with the community. Together, we can find the best solutions. IDNLearn.com is committed to providing the best answers. Thank you for visiting, and see you next time for more solutions.