Question

Ralph is leasing a car worth $24,000 for three years. His leasing company says that the car Ralph is leasing will only be worth $16,000 at the end of his lease. Approximately what percentage of the car’s original value will Ralph need to pay as part of his lease? a. 8% b. 16% c. 33% d. 67%

Answer 1

The answer is C. 33%

Explanation:

The car was worth $24,000, being this the original value, after three years the car will be worth $16,000.

Therefore to know the percentage of the car’s original value will Ralph need to pay as part of his lease, we need to know the difference between the original value and the new value.

24,000-16,000= $8000.

And the percentage can be calculated dividing the difference by the original value of the car.

`(8,000)/(24,000) *100 = 33.3%`

Therefore the percentage will be 33%