Rinaldo bought a new car for $52,000 a year ago. A new car normally loses 20% of its value after one year. What is Rinaldo’s car worth now?(1 point)

Question

$

Answer 1

To find out how much Rinaldo's car is worth now after losing 20% of its value, we can follow these steps:

1. Calculate the depreciation value: \[ \text{Depreciation} = \text{Original Price} \times \text{Depreciation Rate} \] \[ \text{Depreciation} = 52,000 \times 0.20 = 10,400 \]

2. Subtract the depreciation from the original price to find the current value: \[ \text{Current Value} = \text{Original Price} - \text{Depreciation} \] \[ \text{Current Value} = 52,000 - 10,400 = 41,600 \]

Thus, Rinaldo's car is worth $41,600 now.