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A machine worth rs.1 80 000 depreciates at the rate of 18% of the value of the machine per annum. the value of the machine in 18 months from now will be

User Jaam
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1 Answer

5 votes

Answer:

Rs. 1,31,400

Step-by-step explanation:

To calculate the value of the machine in 18 months, we need to apply the annual depreciation rate to the initial value of the machine and then adjust it for the given time period.

The annual depreciation rate is 18% of the value of the machine per annum. This means that each year, the machine's value decreases by 18% of its current value.

Let's calculate the value of the machine in 18 months:

First, calculate the annual depreciation amount:

Annual depreciation = 18% of Rs. 1,80,000

= (18/100) * 1,80,000

= Rs. 32,400

Since 18 months is equivalent to 1.5 years, we can calculate the depreciation for this period by multiplying the annual depreciation by 1.5:

Depreciation for 18 months = Annual depreciation * 1.5

= Rs. 32,400 * 1.5

= Rs. 48,600

Now, subtract the depreciation amount from the initial value of the machine to find its value in 18 months:

Value in 18 months = Initial value - Depreciation for 18 months

= Rs. 1,80,000 - Rs. 48,600

= Rs. 1,31,400

Therefore, the value of the machine in 18 months from now will be Rs. 1,31,400.

User Neilakapete
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