Question

The value of a car after t years can be found using the formula v = c(1 - r)t, where v is the current value of the car, c is the original price of the car, and r is the rate of depreciation. solve the formula for r . raj bought a car 4.5 years ago for $25,000, and the current value of the car is $12,000. at what percentage rate has the car depreciated

Answer 1

V=c(1-r)t
12000=25000(1-r)4.5
2666.6667=25000(1-r)
0.10667=1-r
R=0.89333
=0.89%