Question

Mara bought her car for $19,980. It is expected to depreciate an average of 13% each year during the first 8 years. What will the approximate value of her car be in 8 years?.

Answer 1

the approximate value of the car will be $6558 in 8 years.

Hence, Option 'C' is correct.

Explanation:

Since we have given that

Amount at which she bought her car = $19980

Rate of depreciation = 13%

Number of years = 8 yrs

As we know the formula for "Compound Interest ":