Question

In the year 2003, a person bought a new car for $17500. For each consecutive year after that, the value of the car depreciated by 11%. How much would the car be worth in the year 2006, to the nearest hundred dollars?

Answer 1

The value of the car in the year 2006, after depreciating by 11% each year from 2003, would be approximately $13,056.

Step-by-step explanation:

To find the value of the car in the year 2006, we need to calculate the depreciation for each year from 2003 to 2006.

The value of the car depreciates by 11% each year. So, the value of the car in 2004 can be found by multiplying $17,500 by (1 - 0.11).

Similarly, the value of the car in 2005 can be found by multiplying the value of the car in 2004 by (1 - 0.11), and the value of the car in 2006 can be found by multiplying the value of the car in 2005 by (1 - 0.11).

Calculating these values, we find that the car would be worth approximately $13,056 in the year 2006, to the nearest hundred dollars.