387,835 views
28 votes
28 votes
the original purchase price of a car is 12,000. Each year, its value depreciates (loses value) by 5%. Three years after its purchase, what is the value of the car?

User FYre
by
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2 Answers

24 votes
24 votes

P(1-r)^n

r = decimal form of the interest rate percent

n = amount of years

principal times (1 - decimal form of the interest rate percent) to the (amount of years) power

12000 (1-.05)^3

use PEMDAS

12000 times (.95)^3

12000 times .857375 =

ANSWER:

10288.5

User FazoM
by
3.0k points
23 votes
23 votes

Answer:

10,200

Explanation:

User Marissajmc
by
2.9k points