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Fred purchased a used vehicle that depreciates under a straight-line method. The initial value of the car is $10500, and the salvage value is $500. If the car is expected to have a useful life of another 8 years, how much will it depreciate each year?

1 Answer

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Answer: 1250

Explanation:

Initial value - salvage value / useful life #of years

10500-500=10000/8= 1250

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