Question

Adam bought a fish aquarium worth $2,000 in the first week of the year. Its value depreciates by 3% per

week. What will the value of fish aquarium after 5 weeks?

Answer 1

FV= $1,725.22

Explanation:

Giving the following information:

Present value (PV)= $2,000

Decrease rate (d)= 3% per week

Number of weeks (n)= 5

To calculate the future value of the fish after 5 weeks, we need to use the following formula:

FV= PV / (1 + d)^n

FV= 2,000 / (1.03^5)

FV= $1,725.22