Question

calculate the depreciation rate of a vehicle if it was bought 5 years ago for $25 000 and can be sold now for $8 200. question 5 options: 20% 68% 32% 48% 80%

Answer 1

The depreciation rate of the vehicle, which was originally bought for $25,000 and can now be sold for $8,200, is calculated to be approximately 68%.

Step-by-step explanation:

To calculate the depreciation rate of a vehicle, we subtract the current value from the original value, then divide the result by the original value, and finally multiply by 100 to get a percentage. In this case, the vehicle was bought for $25,000 and can now be sold for $8,200.

So, the calculation is as follows:

1. Depreciation amount = Original value - Current value = $25,000 - $8,200
2. Depreciation amount = $16,800
3. Depreciation rate = (Depreciation amount / Original value) x 100 = ($16,800 / $25,000) x 100
4. Depreciation rate = 67.2%

Therefore, the closest answer to the depreciation rate is 68%.