Question

A company owns office cars worth a total $587,000.The cars are depreciated by 12% of a year .For 10 year what is the expected value of the cars at the end of 10 years ?

Answer 1

y= 587,000(0.88)^x

so.. y= 587,000(0.88)^10

y=587000 x 0.278500976
y=163480.0729