A used car was purchased in July 2000 for $11,900. If the car depreciates 13% of its value each year, what is?

the value of the car, to the nearest hundred dollars, in July 2003?



:)pleaseandthankyou!A used car was purchased in July 2000 for $11,900. If the car depreciates 13% of its value each year, what is?
If it depreciates 13%, then it will have 87% of its value a year later.



July 2000 = $11,900

July 2001 = $11,900 x 0.87 = $10,353

July 2002 = $10,353 x 0.87 = $9,007.11

July 2003 = $9.007.11 x 0.87 = $7,836.19



Rounded to the nearest dollar:

$7,836



Another way to write this is:

P(t) = Po * (1-r)^t



Here Po is the original value, r is the depreciation rate (0.13) and t are the number of years.



P(3) = 11900 * (0.87)^3

P(3) = 7836.1857

Rounding...

P(3) = $7,836



Same answer either way!A used car was purchased in July 2000 for $11,900. If the car depreciates 13% of its value each year, what is?
Doh! Nearest hundred! Oh well, what's $36 here or there? I'll just take it as my commission and you can keep the $7800. :-)

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A used car was purchased in July 2000 for $11,900. If the car depreciates 13% of its value each year, what is?
11900*0.87^3

=7836.19
[13]

The depreciated value in July 2003

=$11,900*(87/100)^3

=$ 11,900*658,503/1000000

=$7,836 (approax)