Question

The cost of a motor bike decreases every year by 20%. Find its original cost if after three years its cost is $19,200.

(Explain please)

Answer 1

$33,177.60

Explanation:

You have to multiply the price after 3 years by the percent that it decreased. Since you need to find the original price from 3 years ago, you multiply it 3 times, each time by the the number you got from the last solution.

0.20 x 19200 = 3840 + 19200 = 23040

0.20 x 23040 = 4608 + 23040 = 27648

0.20 x 27648 =5529.6 + 27648 = 33,177.60