Question

A used car bought for $10,230 was sold for $800 after 5 years of use. What was the car's rate of depreciation, to the nearest tenth percent? PLEASE SHOW WORK

Answer 1

$9430 / $10,230 * 100% = 92.4%

Explanation:

To find the car's rate of depreciation, we need to first calculate the total amount of depreciation that occurred over the 5 years of use. This can be done by subtracting the sale price of the car from its original price:

$10,230 - $800 = $<<10230-800=9430>>9430

Next, we need to divide the total amount of depreciation by the original price of the car and multiply by 100% to express the result as a percentage:

Therefore, the car's rate of depreciation was 92.4%, to the nearest tenth percent. This means that the value of the car declined by 92.4% over the 5 years of use.