Question

This year, Farah's car is worth $22,000. If the value of Farah's car decreases by 8%, what will her car be worth next year?

Answer 1

$20,240

Explanation:

This is a simple interest formula.

$22,000*(8%/100%) = $1760

$22,000-$1760 = $20,240

Answer 2

$20,240

Explanation:

Multiply 22,000 by 0.92% since if you subtract 0.08 which is equivalent to 8% from 1, you would need that percentage to get to your final answer which is $20,240.

Another option is to do the same thing except multiply 22,000 by 0.08% in which $1,760 is being cut off as it decreases. Subtract that number from $22,000 to get the same answer mentioned earlier.