after 1 year ---- 950000(.9) =
after 2 years ----950000(.9)^2
..
after 5 years ---- 950000(.9)^5 = ....
If you pay $950000 for a car and its value depreciates 10% per year how much will be its worth 5 years from now?
2 answers
950,000*.10 = 95,000
950,000-95,000 = 855,000 (1yr)
855,000*.10 = 85,500
855,000-85,500 = 769,500 (2yr)
Repeat the process until reach 5 yrs.
950,000-95,000 = 855,000 (1yr)
855,000*.10 = 85,500
855,000-85,500 = 769,500 (2yr)
Repeat the process until reach 5 yrs.
1 answer