129k views
4 votes
Brian buys a computer for £2100.

It depreciates at a rate of 1% per year.
How much will it be worth in 6 years?
Give your answer to the nearest penny where appropriate.

User Titou
by
4.0k points

2 Answers

2 votes

Answer:

1997.08 pounds at the beginning of 6 years.

Explanation:

If you start at 2100 pounds, and it depreciates by .01 every year, you would start by doing this. It wouldn't just be subtracting 21 each year because the value depreciates and 1% would come off the new depreciated value each year.

1st year - 2100*.01 = 21

2100-21 = 2079

2nd year - 2079*.01 = 20.79

2079 - 20.79 = 2058.21

3rd year - 2058.21*.01 = 20.58

2058.21-20.58 = 2037.63

4th year - 2037.63*.01 = 20.38

2037.63-20.38 = 2017.25

5th year - 2017.25*.01 = 20.17

2017.25 - 20.17 = 1997.08

6th year - at the beginning of the 6th year, it would be worth 1997.08.

At the end of the 6th year, it would be: 1997.08*.01 = 19.97. 1997.08-19.97 = 1977.11

User Donal Lafferty
by
4.1k points
3 votes

Answer:

it will be 1974

Explanation:

2100*6/100

=126

User Kchomski
by
4.6k points