Question

Colin buys a car for £45500. It depreciates at a rate of 6% per year. How much will it be worth in 3 years? Give your answer to the nearest penny where appropriate.

Answer 1

The answer is 33,710 euros.

Explanation:

Start by multiplying 45,550 by 6%. This will give 2,730. over the next three years the price decreases, so multiply 2,730 by 3, which is 8,190. Finally, subtract 45,550 by 8,190 to get 33,710.