Answer:
It will be worth $6380 after 1 year
Explanation:
The motorcycle cost $7250 = m
if it depreciates by 12% per year, that means it's value goes down by 12%
and that means that it now costs less than it's original cost
Hence it costs 12% less, Or, it's new value is, after taking out the 12% that it lost,
100-12 = 88
so, it's new value is 88% of it's original value,
So, after 1 year, it's value is,
New value = 88% of original value
New value = (88%)(m)
New value = (0.88)(7250)
New Value = $6380