Question

Maria purchased a car for $8599. If the rate of depreciation is 2.5%, what will the value of the car be after four years? Round your answer to the nearest hundredth.

Answer 1

$ 7770.81

Explanation:

2.5 % each year means the car retains 97.5 % ( or .975 in decimal) of its value per year

8599 ( .975) ^4 = $ 7770.81