Question

The next model of a sports car will cost 3.3% less than the current model. The current model costs $51,000. (i)How much will the price decrease in dollars? (ii) What will be the price of the next model?

Answer 1

Given:

Cost of current model = $51, 000

Cost of the next model is 3.3% less than the cost of the current model.

Mathematical interpretation of the second statement:

`\cos t\text{ of the next model = (100-3.3) \% of the cost of the current model}`

Substituting, we have:

`\begin{gathered} \cos t\text{ of the next model = }(96.7)/(100)\text{ }*\text{ 51000} \\ =\text{ 49317} \end{gathered}`

Hence, the price of the next model in dollars is $49317

The price decrease in dollars is the difference between the cost of the next model and the cost of the current model.

`\begin{gathered} \text{price decrease = Cost of the current model - cost of the next model} \\ =\text{ 51000 - 49317} \\ =\text{ 1683} \end{gathered}`

Hence, the price decrease in dollars is $1683

Answer:

(i) price decrease = $ 1683

(ii) price of the next model = $49317